Let’s book fast profits on our Nvidia (NVDA) spread, earning a 9% absolute return in three days, or 1,095% annualized.
Current Stock Price: $155.45
Cash in Hand: $0.59
- Buy to close the NVDA Jul Monthly (7/15) 130 Put for around $0.28
- Sell to close the NVDA Jul Monthly (7/15) 125 Put for around $0.14
- Set initial debit limit at $0.14, but adjust as needed to close today
Profit: $0.45, or $45 per spread