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Wednesday, March 30, 2016

LinkedIn (LNKD) Put Options

Tue. 3/22/2016 (11:16:09 am, PT)

sell -1 Apr 1, 2016 (week 1)  $111 put at $1.14 (credit)

Why did I place this trade?
  • stochastics in oversold region (see chart HERE)
  • high implied volatility
  • 70% probability of success


Wed. 3/30/2016 (10:45:41 am, PT)

buy back put at $0.43 (debit)

Why did I place this trade?
  • On 3/29/2016, LNKD was downgraded 
  • On 3/30/2016, LNKD miraculously jumped over $3.00, so I closed my position to take PROFITS
GROSS PROFIT:  $71


SUCCESS!