New Trade - Let's Jump On This!
New Trade - Lowe's (LOW) Hello Smart Option Sellers! No time to waste. LOW came out with earnings this morning and completely whiffed. The stock is down roughly $7 per share at a current price of $88.75. Here's the current chart. This is a prime opportunity to hop into a new put-sell trade on a great company. We love these situations as it allows us to take advantage of this temporary (in my opinion) drop in the stock. There's only two places (for the most part) to go if you want to do any kind of home improvement in the U.S. - Lowe's or Home Depot. This company is not going away anytime soon so let's jump on it Here's what you can choose to do: Sell (sell-to-open) the LOW July 2018 $60 put options for a limit sell price of $.30 per contract or higher, GTC, as an opening transaction (sell-to-open). Currently, this put option has a market of $.27 bid - $.45 offer, so it's a bit wide due to the volatility and selling panic. We need to be smart about placing our orders. As of now, my estimate for fair value is about $.35 - $.36 per contract, so when you place your sell order, start at that level and if no one bites, you can incrementally move your offer down. Do not sell for anything less than $.30 per contract for now. I know this strike price of $60 is a touch above the thresholds that we like to stick with ($50 and under), but we can't pass up this opportunity. That's all for now. Get those orders in there and let us know how you do. Continue to contact me here Regards,
Lee Let's Grab That Cash!