Locking In Our Starbucks Profits Dear Savio, Starbucks (SBUX) has really perked up the past five days. The stock was down challenging our strike price of $105 last week, and it is now up challenging resistance at its all-time high of $112.34. This bullish move gives us a great opportunity to lock in our profits on this trade. While we are still bullish on the long-term trend of SBUX, we wouldn't be surprised to see resistance hold right around $112 in the short term. 
Whenever a stock drops down to the same horizontal support level it hit previously -- like SBUX did when it dropped to $105 in both early and late March -- it increases the chances that the stock will hold at a similar horizontal resistance level when it bounces back up. At this time, we recommend you… 'Buy to close' the SBUX April 16th $105 Put Write (SBUX210416P00105000) at market. This will allow us to hold onto our profits while we watch to see if SBUX is going to pull back and give us another opportunity to sell another put-write against the stock in the future. Congratulations on a great trade! Long-Term Focused Strategic Positions: If you haven’t already entered the following and can still get in for a price at, or better than, our recommended minimum/maximum, we still recommend entering: - Put Write: (Short) BAC April 16th $36 Put Write (BAC210416P00036000) for a minimum price of $0.36.
- Put Write: (Short) KO April 23rd $50 Put Write (KO210423P00050000) for a minimum price of $0.58.
- Put Write: (Short) NKE April 16th $130 Put Write (NKE210416P00130000) for a minimum price of $1.15.
- Put Write: (Short) DIS April 9th $195 Put Write (DIS210409P00195000) for a minimum price of $6.00.
- Covered Call: (Short) TTWO April 16th $195 Covered Call (TTWO210416C00195000) for a minimum price of $1.10.
- Covered Call: (Short) MSFT April 16th $240 Covered Call (MSFT210416C00240000) for a minimum of $4.80.
- Covered Call: (Short) TGT April 16th $185 Covered Call (TGT210416C00185000) for a minimum of $3.40.
We are still holding the following strategic trades, but either the current value of the short option or the price action of the stock itself don’t warrant entering a new trade at this time. If you haven’t already entered these trades, we recommend waiting until further notice before opening a new position: - Long Stock: (Long) Chegg (CHGG) for a maximum of $100.00.
- Covered Stock: (Long) Take Two Interactive (TTWO) for a maximum of $197.50 -- part of the TTWO covered call position.
- Covered Stock: (Long) Microsoft (MSFT) for a maximum of $240.00 -- part of the MSFT covered call position.
- Covered Stock: (Long) Target (TGT) for a maximum of $185.00 -- part of the TGT covered call position.
If put-writes and buy-writes are new strategies for you, be sure to check out our Resources page for more information. For more on these trades, be sure to attend our next weekly webinar Wednesday 8 p.m. ET. Sincerely, 
John Jagerson and Wade Hansen
Editors, Strategic Trader
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