I am recommending we spend a few cents to close the top leg of our Microsoft (MSFT) spread to avoid the risk of shares reversing. The bottom leg is on track to expire worthless.
Our Peloton Interactive (PTON) spread is set to expire worthless. We will sell a new spread soon to continue to work down our net debit on the position.
MSFT Jun Week One (6/4) 245/240 Put Spread
Current Stock Price: $250.52
Cash in Hand: $0.45
- Buy to close the MSFT Jun Week One (6/4) 245 Put for around $0.04
- Watch the MSFT Jun Week One (6/4) 240 Put expire worthless
Profit: $0.41, or $41 per spread
PTON Jun Week One (6/4) 90/85 Put Spread
Current Stock Price: $102.10
Net Debit: $6.99
Action: Watch spread expire worthless