Peloton Day Trading

Yesterday I had to leave my home before the market closed. Before I left I did some Day Trading with Peloton (PTON). I’m not very happy with the stock since it’s huge drop after earnings on Nov 4th. However, yesterday I saw a good opportunity to do some Day Trading with the stock. I used the strategy I was working on the last few months. I still don’t consider myself a Day Trader but I do see some good opportunities once in a while where I can put my strategy to work.

It turns out I made 4 in total. I had to leave my home at 1:30 so I probably could have made a few more…No problem! I’m happy with the few I made.

The trades are listed below. I was in each for between 5 and 10 minutes.

 

12/8/21 – Buy 1000 Shares PTON @ $41.75

12/8/21 – Sell 1000 Shares PTON @ $42.15

 Profit +$400

 

12/8/21 – Buy 1000 Shares PTON @ $43.10

12/8/21 – Sell 1000 Shares PTON @ $43.40

Profit +$300

 

12/8/21 – Buy 1000 Shares PTON @ $43.85

12/8/21 – Sell 1000 Shares PTON @ $44.35

Profit +$500

 

12/8/21 – Buy 1000 Shares PTON @ $44.45

12/8/21 – Sell 1000 Shares PTON @ $44.75

Profit +$300

 

I’ve been writing about how much I like the fintechs. Mainly PYPL, SQ and GPN. I own stock in PYPL and SQ and own Long Calls in all 3. I bought 5 Calls with GPN on 11/24. With PYPL and SQ I own Calls with the Expiration Date of 3/18/22 but GPN did not have that Expiration so I went with 2/18/22. Yesterday GPN was up to the point my Calls were up $2000 and with the 2/18/22 Expiration Date, which is a little too close for me, I decided to sell this position. It looks like the stock will open a little lower today so I’ll be buying more Calls with the Expiration Date of 5/20/22. This gives me a bit more Time Decay protection.

11/24/21 – Buy to Open 5 GPN 2/18/22 $125.00 C @ $8.80

12/8/21 – Sell to Close 5 GPN 2/18/22 $125.00 C @ $12.80

Profit +$2000

 

I was in this position for about 2 weeks. On the 5 contracts I invested $4400 and my profit was $2000. That’s a return of 45%.

 

If you have any questions on these trades send me an email.

 

Successful trading,

Steve

The Options Coach