I am recommending we book profits on our Advanced Micro Devices (AMD) bull put spread. We will earn a 10.6% return in just eight days, or 484% annualized.
Current Stock Price: $101.68
Cash in Hand: $0.64
- Buy to close the AMD Oct Week Two (10/8) 95 Put for around $0.15
- Sell to close the AMD Oct Week Two (10/8) 90 Put for around $0.04
- Set initial debit limit at $0.11
Profit: $0.53, or $53 per spread