Profit Time!

Profit Time!

Hello Smart Option Sellers! It's time to lock in some gains on one of our put-sell plays. Gap Inc. (GPS) We're ready to take profits on this play. This will be our second successful trade since launching back in January. GPS stock has pretty much meandered in a $3 range since we established this position on January 31st. A small trading range does wonders for put-sellers like us. Why? Because if the stock goes nowhere, option prices erode that much quicker. And that's exactly what we need to happen in order for us to buy the put option back cheaper than what we sold it for. Time passing = option price erosion. If you were able to enter this put-sell trade back in January, now is the time to take your profits. Here's what you can choose to do: Buy back (buy-to-close) all of your GPS June 2017 $15 put options for a limit buy price of $.05 per contract or cheaper, GTC, as a closing transaction (buy-to-close). Let's discuss this buy-back trade. Important: You will only buy this put option back if you had already sold it when first recommended. This is not a new trade for you to buy this put option outright. You are only buying it to close out the put-sell trade. This is part of my "80%" Rule which states we look to buy back the put options we've sold if they've lost 80% or more of their value. We do this regardless of the expirati