The market continues to rally, so we’re going to continue to book profits by closing out our Microsoft (MSFT) spread, along with our The Trade Desk (TTD) and Zoom Video Communications (ZM) puts.
We’ll earn annualized rates of return of 535%, 139% and 54%, respectively.
MSFT Oct Week One (10/7) 222.50/215 Put Spread
Current Stock Price: $247.77
Cash in Hand: $0.26
Action:
- Buy to close the MSFT Oct Week One (10/7) 222.50 Put for around $0.07
- Sell to close the MSFT Oct Week One (10/7) 215 Put for around $0.03
- Set initial debit limit at $0.04, but adjust as needed to close today
Profit: $0.22, or $22 per spread
TTD Oct Week One (10/7) 55 Put
Current Stock Price: $63.68
Cash in Hand: $0.61
Action: Buy to close the TTD Oct Week One (10/7) 55 Put for around $0.19, but adjust as needed to close today
Profit: $0.42, or $42 per contract
ZM Oct Week One (10/7) 70 Put
Current Stock Price: $77.46
Cash in Hand: $0.66
Action: Buy to close the ZM Oct Week One (10/7) 70 Put for around $0.14, but adjust as needed to close today
Profit: $0.52, or $52 per contract