With Disney opening its California park at the start of April, the stock is moving higher again.
Walt Disney Stock (DIS)
Next earnings are May 3.
Trade 1:
Sold 10 put contracts for Mar 19 expiry at the $177.50 put strike for $0.56 at 11:19 and bought the $155 put strike for 11 cents to form a $22.50 credit put spread returning 2% for the next two weeks.
I am offering to buy to close early for 10 cents all this week.
Trade 2:
Sold 20 put contracts for April 16 expiry at the $160 put strike for $0.95 at 3:18 and bought 20 of the $110 put strike for 9 cents forming an very wide $50 credit put spread which returns 1.7% if held to expiry. I am doubting the stock will fall to $160 before I can close this for 15 cents or less which is why the long put is far out at the $110 put strike. I am doubting it is needed but it does provide catastrophic insurance, just in case.
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Disclaimer: There are risks involved in all investment strategies and investors can and do lose capital. You always trade at your own risk. Stocks, options and investing are risky and can result in considerable losses. The author assumes no liability for your investment decisions. Read the full disclaimer.