Dear Reader,

Yesterday, we looked at a Daily Price Chart of DaVita Inc., noting that DVA’s OBV line is sloping up, validating the stock’s recent trend.

For today’s Trade of the Day we will be looking at a Daily Price chart for Hewlett Packard Enterprise Co. (HPE). Hewlett Packard Enterprise Company provides solutions that allow customers to capture, analyze, and act upon data seamlessly in the Americas, Europe, the Middle East, Africa, the Asia Pacific, and Japan.

Now, let’s begin to break down the Daily Price chart for HPE. Below is a Daily Price Chart with the price line displayed by an OHLC bar.

Buy HPE Stock

The Daily Price chart above shows that HPE stock has been hitting new 52-Week Highs regularly since early June.

Simply put, a stock does not just continually hit a series of new 52-Week Highs unless it is in a very strong bullish trend.

The Hughes Optioneering team looks for stocks that are making a series of 52-Week Highs as this is a good indicator that the stock is in a powerful uptrend.

You see, after a stock makes a series of two or more 52-Week Highs, the stock typically continues its price uptrend and should be purchased.

Profit if HPE is Up, Down, or Flat

Now, since HPE stock is currently making a series of new 52-Week Highs and will likely rally from here, let’s use the Hughes Optioneering calculator to look at the potential returns for an HPE call option spread.

For this option spread, the calculator analysis below reveals the cost of the spread is $410 (circled). The maximum risk for an option spread is the cost of the spread.

The analysis reveals that if HPE stock is flat or up at all at expiration the spread will realize a 70.7% return (circled). 

And if HPE stock decreases 7.5% at option expiration, the option spread would make a 70.7% return (circled). 

Due to option pricing characteristics, this option spread has a ‘built in’ 70.7% profit potential when the trade was identified*.

The prices and returns represented below were calculated based on the current stock and option pricing for HPE on 6/13/2024 before commissions.

Option spread trades can result in a higher percentage of winning trades compared to a directional option trade if you can profit when the underlying stock/ETF is up, down or flat.

A higher percentage of winning trades can give you the discipline needed to become a successful trader. 

The Hughes Optioneering Team is here to help you identify profit opportunities just like this one.

Chuck’s Copilot

Chuck’s brand-new Copilot system identified that there was a ‘Strong Buy’ for Microsoft Corp. (Symbol: MSFT) on Tuesday.

We took the trade and bought the MSFT June 28th 427.5-call at 7.85. Less than 24hrs later MSFT hit the Copilot ‘trading target’ so we closed our trade our at 14.75 for a whopping 87.9% gain!

Click here to register for next week’s presentation where Chuck will unveil his new Copilot trading suite.

Take a look at this trade idea that Chuck’s brand new ‘Copilot’ tool found today.

Chuck’s ‘Copilot’ identified that REGN is breaking out to the upside and offers a strong trade setup.

Profit target #1 at 1030.08

Profit target #2 at 1038.66

Stay tuned for more to come about the Copilot tool!

Wishing You the Best in Investing Success,

Chuck Hughes

Editor, Trade of the Day

Have any questions? Email us at

*Trading incurs risk and some people lose money trading.