Let’s book profits on our VanEck Semiconductor ETF (SMH) bull put spread, earning a 3.2% return in three days, or 389% annualized.
Current Stock Price: $246.57
Cash in Hand: $0.22
Action:
- Buy to close the SMH Mar Monthly (3/17) 232.50 Put for around $0.10
- Sell to close the SMH Mar Monthly (3/17) 227.50 Put for around $0.04
- Set initial debit limit at $0.06, but adjust as needed to close today
Profit: $0.16, or $16 per spread