As I discussed in this week’s Options Income Weekly LIVE, booking profits is never a mistake, especially if you’ve hit your target rate of return.
With that in mind, let’s close our ZIM Integrated Shipping Services (ZIM) put.
Current Stock Price: $68.31
Cash in Hand: $0.55
Action: Buy to close the ZIM Jun Week Two (6/10) 61 Put
Current Option Price: $0.15-$0.20
Recommended Limit: Set your initial limit order at $0.20, but adjust as needed to close today
Profit: $0.35, or $35 per contract
Rate of Return: 0.6% in five days, or 42% on an annualized basis