Cautiously Bullish on SHOP by selling Put Credit Spreads
Sell the Feb 16 SHOP 100/95 Put Credit Spread for $0.65 or better, for a 13% (not counting commissions) return within 35 days.
Stop loss should be if the spread increases to $1.30.
SHOP has held the 61.8% retracement of the Sep 17 high to Oct 17 low and is clearing the way for higher moves.
Playing it with selling a put credit spread and receiving $65 for every $5 wide contract sold, for a potential 13% Return on Risk over 35 days.
Happy Trading
Lindosskier
Stop loss should be if the spread increases to $1.30.
SHOP has held the 61.8% retracement of the Sep 17 high to Oct 17 low and is clearing the way for higher moves.
Playing it with selling a put credit spread and receiving $65 for every $5 wide contract sold, for a potential 13% Return on Risk over 35 days.
Happy Trading
Lindosskier
Unless SHOP drops by 27% or more, by Friday!
Despite the market wild swings, the fact is that finding strong stocks still pays off.
Congrats to those who took this trade.
Lindosskier