In this kind of market, you grab profits when you can. I am recommending we close our Marvell Technology (MRVL) and Micron Technology (MU) puts.
MRVL shows the power of rolling in a difficult market, while MU has delivered an excellent profit in just over 24 hours.
MRVL Mar Monthly (3/18) 67.50 Put
Current Stock Price: $66.53
Cash in Hand: $4.81
Action: Buy to close the MRVL Mar Monthly (3/18) 67.50 Put
Current Option Price: $3.10-$3.20
Recommended Limit: Set your initial credit limit at $3.15, but adjust as needed to roll today
Profit: $1.66, or $166 per contract
Rate of Return: 2.5% in 23 days, or 39% on an annualized basis
MU Mar Week Two (3/11) 69 Put
Current Stock Price: $77.62
Cash In Hand: $0.38
Action: Buy to close the MU Mar Week Two (3/11) 69 Put
Current Option Price: $0.11-$0.12
Recommended Limit: Set your initial credit limit at $0.12, but adjust as needed to roll today
Profit: $0.26, or $26 per contract
Rate of Return: 0.4% in two days, or 69% on an annualized basis