While there is no Income Masters Live Trading Session being held today, we are going to put on a new trade in my favorite homebuilder, D.R. Horton (DHI).
Data released this morning showed mortgage applications rose 2% last week, hitting their highest level since April. This is a good sign for September home sales and homebuilders like DHI.
I am recommending we sell a put that expires next week.
Note that I will be holding a Live Trading Session tomorrow at noon Eastern. (View the full monthly schedule.) If you have not yet registered for this month’s live sessions, you can do so here.
Current Stock Price: $89.21
Action: Sell to open the DHI Oct Week One (10/1) 88 Put for around $1.21. You can go as low as $1.10, but please don’t start there and always use limit orders.