Weekend Trader Series
August 31, 2025
Open Positions Update
- The DoorDash (DASH) October 17, 2025, 240-strike call reaches its time-stop this Tuesday, September 2. Close the position at a limit price within range of the current market price when you place the order.
The following is this week's recommendation:
Shopify (SHOP)Place a limit order to buy the Shopify (SHOP) October 17, 2025 135-strike call at a limit price within range of the current market asked price when you place your order. At the close on Friday, August 29, this option was offered at $12.50. SHOP closed at $141.28 on Friday, August 29.Do not attempt to enter this position after Tuesday's close.Please use the following guidelines to manage the position:- Exit the position if the option is at a 100% gain from your entry price.
- If the option has not reached its target profit by 3:00 p.m. Eastern time on Monday, September 22, close the position.
- If there is a change to the above closeout parameters, we will notify you in your regular Sunday evening communication.
Shopify (SHOP) stock has pulled back from multi-year highs to potential support at the 30-day moving average, which previously acted as resistance in February and March before stepping in as a floor in May. The $139.68 level, which coincides with double the equity’s April lows and is roughly 10% below its post-earnings peak, has also been supportive over the past week. Meanwhile, $137.70 represents an 8,000% return on the security’s initial public offering (IPO) price, which is the post for a 10-for-1 stock split.
There is still plenty of pessimism surrounding SHOP, leaving ample room for upgrades. In fact, 20 of the 47 analysts in coverage still sport a “hold” or worse rating. Plus, short interest is slowly rolling over from an 18-month high in June, and a decent chunk of overhead calls at the 145- and 155-strikes expired on Friday.
Our recommended October 135 call has a leverage ratio of 7.6, and will double on a 13.1% rise in the underlying security.
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