So far all the free option trade stuff I have posted on the blog have been profitable and have not needed any adjustments. Hopefully I can keep up the trend.
For this free trade, I got a suggestion from a member.
Eddy Hussain writes,
AAPL at 170.47
SELL 2 160 PUT
BUY 2 155 PUT
Max profit 152.00 Max loss 838.00
Use 10% of account.
Probability of success 75% according to TOS.
I really like this trade because it is right below a strong level of support. But I would not classify this trade as a conservative trade because it is pretty close to the money. 10 points in AAPL is not much. So the 75% probability of profit might be a bit misleading. But if AAPL moves up 5 points or more this one will be a slam dunk.
Let’s see what happens. Thank you very much Eddy!
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