First Solar (FSLR) is up around 7% today after the Senate approved a $740 billion climate, health care and tax package that includes $374 billion in climate and energy spending. The House is expected to approve the legislation this month, potentially giving solar stocks another boost.
I am recommending we roll our FSLR put out one week and to a higher strike to generate more income and reduce our net debit on the position.
You can enter the second leg of today’s trade even if you were not in the previous one. Just be aware that we will be managing and tracking it based on the ongoing position.
Current Stock Price: $109.16
Net Debit: $9.89
- Buy to close the FSLR Aug Week Two (8/12) 92 Put for around $0.10
- Sell to open the FSLR Aug Monthly (8/19) 100 Put for around $1.20
- Set initial credit limit at $1.10, but adjust as needed to roll today
New Net Debit: $8.79