Nike (NKE) is up sharply following its latest earnings announcement, pushing our recovery position close to breakeven. Using a LEAP call spread, we successfully flipped a loss of $26.71 into a small loss, showing how powerful this strategy can be. Current Stock Price: $116.47 Cost Basis: $92.98 Action: Buy to close 3 NKE Jan Monthly…
Nike (NKE) is scheduled to announce earnings tomorrow. I am recommending purchasing puts to hedge our position against a post-earnings sell-off. Note that these protective puts are meant as hedges. The goal is for them to expire worthless. However, the put could explode in value if the stock falls sharply after earnings, thus offsetting some…
Our Nike (NKE) recovery position is working out well. The stock has rebounded from its late-September lows, and it’s possible we could book a profit soon if shares continue to hold up. I am recommending we roll the short leg of our LEAP call spread out to the January monthly expiration to generate more cash…
Nike (NKE) has run up nearly 20% since we initiated our recovery LEAP call spread on renewed optimism in the retail sector. I am recommending we roll the underlying call spread up to a higher strike and also roll our deep-in-the-money short call out to the December monthly expiration and to a much higher strike.…
I am recommending we roll the short leg of our Nike (NKE) LEAP call recovery position out two weeks and to a lower strike price to generate more income. In the short term, the stock is likely to trade based on traders’ hopes and fears about the holiday shopping season. Long term, shares are seriously…
I am recommending we roll the short leg of our Nike (NKE) LEAP call recovery position out two weeks to generate more income and reduce our cost basis. Note: No action is needed on the NKE Jan 2024 (1/19/24) 70 Calls at this time. Current Stock Price: $90.41 Current Cost Basis: $109.60 Action: Buy to…
It’s time to initiate a LEAP call recovery tactic on Best Buy (BBY) and Nike (NKE). It involves using the capital from selling our shares of BBY and NKE to purchase long-dated call options. After purchasing the LEAPS, we will sell short-term calls against them to bring in income, taking advantage of the leverage the…
Nike (NKE) sold off sharply this morning following the release of its latest quarterly earnings. The company reported better-than-expected earnings, but Wall Street was disappointed by a big increase in inventory and management’s lowered forecast for the full year. With the NKE Sep Week Five (9/30) 110 Put we sold deep in the money, I…
Nike (NKE) is scheduled to report earnings tomorrow. I had planned to exit the position prior to the announcement, but our put is deep in the money. Therefore, I have instead decided to recommend a protective put to hedge the position. This will create a spread position, temporarily reducing your capital requirement. However, note that…
I am recommending we roll our Mosaic (MOS) and Nike (NKE) puts. We are going out two weeks due to next week’s Federal Reserve meeting. While the Fed is widely expected to raise rates 0.75%, the market could move sharply in either direction based on the actual size of the rate hike and the Fed’s…
