Let’s book profits on Bank of America (BAC) while the market is up on promising news about a potential coronavirus vaccine.
Current Stock Price: $27.03
Cash in Hand: $0.40
Action: Buy to close the BAC Nov Week Two (11/13) 23.50 Put
Current Option Price: $0.01-$0.02
Recommended Limit: Set your initial limit order at $0.02, but adjust as needed to close today
Profit: $0.38, or $38 per contract
Rate of Return: 1.6% in six days, or 99% on an annualized basis