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Home › Forums › Swing Trades › PEAD in EA
EA looks ready to retest the upper end of the range:
Here is the trade:
BUY TO OPEN EA JUN 72.50 CALL @2.60
Steve,
What about just selling some puts against this (say, June 70) for a high probability trade? The high end is capped, but the likelihood of making some decent money is there.
On the other hand, this ties up lots of capital to cover the downside risk (assuming I understand things correctly). What would you recommend to not tie up so much capital?
-Jon
Lot of interest at that level. Volume 9052 today!
@Jonathan, you can sell puts. When the trade is on at the start, delta is delta. I just wanted to get paid for my risk.
76 hit, time to sell half.
Sell to close half size EA 72.50 calls @4.30
Jun opex closing price: 2.10