Buy Put QQQ

April 18, 2024
Sell a Third of Existing Position: Sell a Third of your QQQ November 430 Puts for $23.50 or more.

As I wrote on Monday morning, I feel our portfolio has as little bullish exposure to the market as we have had in years. And on top of the lack of bullish positions (somewhat) we are also holding a hedge that was originally bought to hedge trades that we have since exited (NTNX, CELH, PLTR, etc.).

Today let’s raise our bullish exposure a bit by selling a piece of our hedge.

To execute this trade you need to:

Sell to Close a Third of your QQQ November 430 Puts.

Two more notes on this sale …

First, if you are super worried about the market, then you absolutely can hold the full QQQ position.

And second, this sale of a piece of our trade is not a market call that the recent sell-off is over. Instead, this is dipping our toe in the water for adding bullish exposure via a partial sale of our hedge.

March 5, 2024

Buy the Nasdaq ETF (QQQ) November 430 Puts (exp. 11/15/2024) for $22.50 or less.

For the past several months we have been without a true hedge and we have been adding bullish exposure to growth stocks. That has been the right move as stocks in our portfolio such as NTNX, PLTR, CELH, MRVL, TSM, HOOD, etc., have soared higher.

Today, the market is under pressure, and I want to add a hedge via the Nasdaq ETF (QQQ) that will protect some of our big winning positions for nine months, and through the election season.

To execute this trade you need to:
Buy to Open the QQQ November 430 Puts.

The most you can lose on this trade is the premium paid, or $2,250 per put purchased.

Please note, these puts are not a market call that the indexes are going to collapse. Instead, they are an insurance policy against our many winning bullish positions.

Finally, we are likely going to hold these puts for months, which means we won’t get too excited if they are up, or down, 10-30% today, tomorrow, or for some time. Instead, this is a back-pocket hedge.