✅ Fri. 5/23 Take Profit Alert: $DHR Bear Call Spread
Time to Lock in the Win
Hello traders and investors,
I’m locking in profits on my bear call spread in Danaher Corporation ($DHR) that has done exactly what I expected — rolled over and failed to push higher. With over 74% of max profit already captured this is the right time to close.
🔧 Trade Details:
Strategy: Bear Call Credit Spread
Strikes: Sold 200C / Bought 210C
Expiration: June 20 (28 DTE)
Net Credit Received: $3.85
Maximum Profit Potential: $1,925.00
Current Profit: $1,437.50 (+74.68% of max gain)
📉 Why This Trade Worked:
$DHR never challenged the $200 short call strike.
The bounce attempt failed at the 50-day moving average.
MACD has rolled over, stochastics are turning lower, and RSI remains weak at 42 — this is a textbook continuation of a downtrend.
Price remains below all key moving averages, and volume on red days has picked up — signaling continued selling pressure.
🎯 Why It Makes Sense to Close:
With 28 days still to expiration, I’ve captured nearly 75% of the available profit. That means I’m now risking $1,437 in open gains just to earn another $487 — not a smart risk/reward at this point.
I’d rather take the win, eliminate tail-end risk, and move that capital to a new setup with fresh potential.
📌 Action Taken:
I closed the spread and booked the $1,437.50 profit — locking it in and freeing up buying power for next week’s setups.
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*Disclaimer: These trades reflect my own strategy and opinion, not financial advice.