Let’s book profits on our NVIDIA (NVDA) bull put spread. The premium has dropped to around a dime with a week and a half to expiration, and we can earn a more than 6% return by closing now.
Current Stock Price: $186.90
Cash in Hand: $0.44
- Buy to close the NVDA Jun Week Two (6/10) 150 Put for around $0.30
- Sell to close the NVDA Jun Week Two (6/10) 145 Put for around $0.18
- Set initial debit limit at $0.12, but adjust as needed to close today
Profit: $0.32, or $32 per spread