Looking for a structured swing trade strategy? This Palantir (PLTR) options trade delivered 50% max profit in 6 days — driven by SpotGamma’s proprietary tools, Compass, HIRO, Equity Hub, and our Key Gamma Levels.
Author: Doug Pless
Professional Trader & SpotGamma Content Contributor
| The Setup | The Tools | The Execution | The Payoff |
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Stock: Palantir (PLTR) Trade Type: Swing trade using options Bias: Bullish reversal after March pullback Volatility: High IV environment Thesis: PLTR was rebounding from March lows, with bullish positioning and elevated volatility suggesting upside |
Compass • Flagged PLTR in upper-left quadrant (high IV Rank + low risk reversal percentile) • Indicated upside potential in an expensive vol environment Equity Hub • Key SpotGamma levels: – Hedge Wall: $86 – Put Wall: $85 – Call Wall: $90 • Used to define entries, risk, and breakout targets HIRO • Confirmed bullish flow: – Traders buying calls – Market makers buying stock to hedge |
Entry: $87.50 via unbalanced butterfly options spread Stop Loss: Defined by limited-risk structure Profit Target: 50% max profit Duration: 6 days (March 21–27) Confirmation: Breakout above $86 Hedge Wall + HIRO flow + Compass bias |
• Reward/Risk Profile: $1.00 defined risk (unbalanced call butterfly); targeted continuation above $87–$88 • Max Return on Risk: ~50% realized in 6 days • Final Exit: Closed March 27 ahead of the April 2 tariff catalyst • Result: A thesis-driven swing trade supported by the hedge-wall breakout, HIRO call flow, and Compass setup — delivering a clean, risk-defined profit |
Key Takeaways
- Compass helped build a bullish thesis — High IV rank + low risk reversal percentile positioned PLTR for upside, setting the stage for a directional trade.
- Breakout above hedge wall confirmed thesis — The move through $86 provided a clean technical entry aligned with bullish gamma dynamics.
- HIRO showed real-time call buying — Rising call flow indicated aggressive traders stepping in, helping validate the trade and timing.
- Skewed butterfly locked in profits with no upside risk — Smart structure selection allowed for favorable reward with capped exposure over 6 trading days.
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