Below are the trades from today’s Income Masters Live Trading Session.
Action on Existing Position
I am recommending we roll our SPDR S&P Biotech ETF (XBI) put out one week.
You can sell the Oct. 29 put even if you were not in the previous position. Just be aware that we will be managing and tracking the trade based on the ongoing position.
Current Stock Price: $123.92
Cash in Hand: $1.09
Action:
- Buy to close the XBI Oct Week Four (10/22) 123 Put for around $0.48
- Sell to open the XBI Oct Week Five (10/29) 123 Put for around $1.49
- Set initial credit limit at $1.01, but adjust as needed to roll today
New Cash in Hand: $2.10
New Positions
TRADE ONE: Sell to open Figs (FIGS) Nov Monthly (11/19) 35 Put for around $2.15. You can go as low as $1.95, but please don’t start there and always use limit orders. (Current stock price: $36.65)
TRADE TWO*: Sell to open the Roku (ROKU) Oct Week Five (10/29) 305 Put for around $0.78 and buy to open the ROKU Oct Week Five (10/29) 300 Put for around $0.54. Set initial credit limit at $0.24, but please don’t start there and always use limit orders. (Current stock price: $337.82)
*If you are new to spread trading, please watch my Bull Put Spread Coaching Session before entering the trades.