We have the opportunity to ladder up our Applied Materials (AMAT) and Chewy (CHWY) puts to generate more income. We will be rolling to higher strike prices but keeping the expiration dates the same.
If you are not currently in an AMAT and/or CHWY position, you can enter one today by selling the put with the higher strike.
Note that no action is needed on our Target (TGT) Dec Week One (12/4) 175 Put at this time.
AMAT Dec Week One (12/4) 76 Put
Current Stock Price: $85.56
Action:
- Buy to close the AMAT Dec Week One (12/4) 76 Put for around $0.03
- Sell to open the AMAT Dec Week One (12/4) 83.50 Put for around $0.36
- Set your initial credit limit at $0.33, but adjust as needed to roll today
CHWY Dec Week One (12/4) 67.50 Put
Current Stock Price: $72.82
Action:
- Buy to close the CHWY Dec Week One (12/4) 67.50 Put for around $0.16
- Sell to open the CHWY Dec Week One (12/4) 70 Put for around $0.49
- Set your initial credit limit at $0.33, but adjust as needed to roll today