Weekend Trader Series
October 12, 2025
Open Positions Update
- Close the eBay (EBAY) December 19, 2025 87.50-strike call on Monday, October 13. Close the position at a limit price within the range of the current market price when you place the order.
The following is this week's recommendation:
Skyworks Solutions (SWKS)
Place a limit order to buy the Skyworks Solutions (SWKS) January 16, 2026 70-strike put at a limit price within range of the current market asked price when you place your order. At the close on Friday, October 10, this option was offered at $7.70. SWKS closed at $69.16 on Friday, October 10.
Do not attempt to enter this position after Monday'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, November 3, close the position.
- If there is a change to the above closeout parameters, we will notify you in your regular Sunday evening communication.
Wireless networking stock closed below a trendline connecting higher lows since April. The shares also breached their 200-day moving average and are underneath $75, home to 2022 lows. Down more than 20% in 2025, there’s reason to believe tailwinds will persist.
An Apple (AAPL) supplier, Skyworks Solutions stock peaked on Sept. 22 amid the ramp-up and rollout of the iPhone 17. With that gap filled, we could be looking at a ‘buy the rumor, sell the news’ situation developing.
Short interest is down 50% since those April lows. Since mid-June, however, the shares have made no net headway even amid that steady covering activity.
Our recommended January 70 put has a leverage ratio of 4.2 and will double in value on a 21.1% decline in the underlying equity.
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