DailyPlay – Closing Trade (KRE) – December 14, 2023

Closing Trade

• KRE – 91.43% Loss: Buy to Close 10 Contracts (or 100% of your Contracts) Jan 19th $48/$51 Call Vertical Spreads @ $2.01 Debit. DailyPlay Portfolio: By Closing all 10 Contracts, we will be paying $2,010. We initially opened these 10 Contracts on Dec 7 @  $1.11 Credit. Our average loss, therefore, is $90 per contract. 

Investment Rationale

With positive news coming from the Federal Reserve Bank yesterday, KRE broke above resistance at $49 – $50. The Fed indicated that rate cuts are on the table for next year, which caused equities to rally. We will therefore cut our loss on KRE and continue to monitor the market for further opportunities in the direction of the overall market trend.