[Options] Musk revived to buy Twitter. Here is how to trade!

Last night, Twitter announced that Elon Musk revived a bid to buy for Twitter at the original price of $54.20 per share.​Shares of Twitter climbed 22% to $52 last trading day. I don't want to discuss why Musk change his mind on Twitter again. I want to talk about our trading opportunities.​

Twitter shareholders voted Sept. 13 to accept the buyout offer as Musk submitted it. The company said at the time that 98.6% of the votes cast were in favor of the deal. That means the deal price of $54.5 is almost the final price.

Usually, before the transaction closes, the market price will be a discount from the deal price, that is, Twitter's stock price will not exceed 54.5 in a short term. So we can start to sell Twitter's call options.

I will trade it tonight, Sell Twitter's Call with the strike price of $52-54. I choose prices that is 95% of the deal price. If you are risk averse, Sell Call with the strike price of $54 or $55.

If Twitter stock price falls below $50, I will sell put options with a strike price of $43-44, which are 80% of deal price.$Tesla Motors(TSLA)$​​