Below are the trades from today’s Income Masters Live Trading Session.
TRADE ONE: Sell to open the D.R. Horton (DHI) Feb Monthly (2/19) 80 Put for around $1.02. You can go as low as $0.93, but please don’t start there and always use limit orders. (Current stock price: $82.03)
TRADE TWO: Sell to open the Chewy (CHWY) Feb Monthly (2/19) 100 Put for around $1.19. You can go as low as $1.09, but please don’t start there and always use limit orders. (Current stock price: $108.10)
Or…
Bull Put Spread*: Sell to open the CHWY Feb Monthly (2/19) 100 Put for around $1.19 and buy to open CHWY Feb Monthly (2/19) 90 Put for around $0.15. Set initial credit limit at $1.04.
TRADE THREE: Buy 100 shares of Williams-Sonoma (WSM) at market ($126.09) and sell to open the WSM Feb Monthly (2/19) 130 Call for around $1.95. (Cost basis: $124.14)
TRADE FOUR**: Buy to open the Apple (AAPL) Jan Monthly (1/21/22) 100 Call for around $40.80 and sell to open the AAPL Feb Monthly (2/19) 140 Call for around $0.85. Set initial debit limit at $39.95. (Current stock price: $135.43)
TRADE FIVE*: Sell to open the Zoom Video Communications (ZM) Feb Monthly (2/19) 380 Put for around $2.15 and buy to open ZM Feb Monthly (2/19) 370 Put for around $0.25. Set initial credit limit at $0.90. (Current stock price: $426.09)
*If you are new to bull put spreads, please watch my Bull Put Spread Coaching Session before entering the trade.
**If you are new to LEAP call spreads, please watch my LEAP Call Spreads Coaching Session before entering the trade.