Tue. 12/29/2020
sell (to open) -2 Feb 5, 2021 $135 puts at $1.15 (prob ITM: 20.53%)
buy (to open) +2 Feb 5, 2021 $129 puts at $0.51 (prob ITM: 10.23%)
- Net credit: $0.64 x 2 x 100 = $128
- Max profit: $128
- Margin: $873
- "oversold"
- 37 DTE
Thu. 2/4/2021
buy back just one of the short puts at $0.01
let the other short put and the two long puts expire "worthless"
NET PROFIT: $124.33 (ROC: 14% in 37 days)
Learn to trade options.
