I am recommending we close our SPDR S&P Biotech ETF (XBI) put early rather than hold through expiration and risk the position turning against us.
Our active recovery strategy has allowed us to walk away from a position that was deep underwater – with a net debit as high as $14.77 at one point — at breakeven. Let’s do so.
Current Stock Price: $82.96
Cash in Hand: $0.49
Action: Buy to close the XBI Jan Week Two (1/13) 80 Put for around $0.49, but adjust as needed to close today
Profit: $0, or $0 per contract