While no stock is actually a “safe” stock, there are those stocks that are considered “safer” than most. Visa and MasterCard stock certainly fell into that category. Over the past two days though, it is obvious that large institutional investors believe the run up for now, may be at an end and they are taking their profits.
Visa is now down 6.4% from its recent 52 week high of $187.05. With investors wondering how to handle the downturn, here is a strategy I have used since the 1970’s when options were traded “over-the-counter”, to time when to close a short put option position and roll it to keep profits coming in while avoiding ownership of stock as long as possible.
This strategy article is for members.
Using Moving Averages To Time Rolling Short Put Options On A Plunging Stock – VISA Stock (V) – Sep 10 2019
Disclaimer: There are risks involved in all investment strategies and investors can and do lose capital. Trade at your own risk.