Options Portfolio Update – 2021-01-03
Current Long Options Swing Portfolio: $ACB, $DBX, $DGLY, $FISV, $ON, $SIG, $SNAP, $SRNE
ON
The star of my portfolio during the last day of trading in 2020 was $ON, setting a new 52-week high, both in closing and intraday activity. And, given the trend, it is likely to continue above $34 before the next pause in its trajectory.
The hourly chart shows its strong performance last Thursday, staying above its previous 52 week high for all but a short portion of the first hour of trading.
I sold 1/3 of my holdings here, guaranteeing a net win regardless of what happens from here. However, I look to hopefully shed the next 1/3 for even more within the next day or two and go from there.
Given the long-term performance of this, once I am out of my current positions, this will likely go to the watchlist, looking for a new entry.
DBX
I was eyeing an entry for $DBX a little under the 61.8 ext. (22.28) which I was able to get on Thursday. $DBX is currently retracing from its 52-week high last week, so I was eyeing one of the key support/resistance lines for Fibs as a likely point where it will hold and gain energy for more upside.
Adding the lines for the current levels of retracement, I can see that the 23.55 price line will be a key level of resistance as it fights its way back up, so this is the line I will be watching during the time decay as to what I will do.
On the other side, I will be eyeing the price action at the next two extension levels down (50.0 – 21.39 and 38.2 – 20.50) for stop losses.
ACB
With the new Congress and likely impending change in the Presidency, pot stocks, including $ACB will likely get their momentum back. The question is when.
The good news is that I went out a little with my expiration date. The bad news is that there is still this thing called ‘time decay.’ I consider the $7.93 a key point where a stop-loss may be in order.
DGLY
$DGLY was a lottery play to start with, but given the incredible squeeze it was under, it looked no worse than a 50/50 play. Given what it does and its likely growing customer base, it is a good bet that it will either take off or be acquired at some point. However, time decay is the issue for the current holdings. If it doesn’t look positive this week, I’ll be taking what I can on this and moving it back to the watchlist for another play in the future.
FISV
Just as I was about to let $FISV go, it started working its trek back up. But, time decay is an issue on this one as well, so I’ll be watching price action this week and will likely be taking action before Friday.
SIG
$SIG has been trying and struggling to get over and stay over the $28 mark. Once it does this, a run up to 29 shouldn’t take long, and then, 29.45 is the key line for the run up over 30. Given the time decay I have on this one, any downward pressure will likely signal taking what I can and looking for another entry in the future.
SNAP
For the most part, $SNAP had smaller volume this past week after its 52-week high. It stays around a key fib line (@50.35) as there appeared to be some profit taking on the lower volume. I’m looking for this to rebound this week backup toward its high.
SRNE
$SRNE is a bio-tech diagnostics firm where catalysts play big. As such, it has pretty big swings.
With that said, 6.50 is a key stop-out that I am watching. I still see this rebounding to around $7.50 in the short-term (key resistance level), with 8.40 as my primary target.