Given recent trading action and the fact that we have hit our minimum rate of return goal, I am recommending we book profits on our Starbucks (SBUX) put rather than risk having to roll the position if the stock reverses.
Current Stock Price: $106.68
Cash in Hand: $0.52
Action: Buy to close the SBUX Feb Week Two (2/10) 103 Put
Current Option Price: $0.15-$0.16
Recommended Limit: Set your initial limit order at $0.16, but adjust as needed to close today
Profit: $0.36, or $36 per contract
Rate of Return: 0.3% in five days, or 26% on an annualized basis