Nvidia Stock: This Bull Put Spread Could Achieve An 8.7% Return In 10 Days

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Nvidia Stock: This Bull Put Spread Could Achieve An 8.7% Return In 10 Days

Investor’s Business Daily01-12

Nvidia (NVDA) is not only trading above the 21-day exponential moving average and the 50-day line, but it has also experienced a powerful breakout past a 505.48 buy point in the last few days. Traders...

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56CcLim
·01-12
Very easy hit stop loss 40...
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Traders...</p>\n\n<a href=\"https://www.investors.com/research/options/nvda-stock-today-this-bull-put-spread-could-achieve-an-8-7-return-in-10-days/\">Source Link</a>\n\n</div>\n","source":"lsy1671069246760","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Nvidia Stock: This Bull Put Spread Could Achieve An 8.7% Return In 10 Days</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNvidia Stock: This Bull Put Spread Could Achieve An 8.7% Return In 10 Days\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-01-12 14:50 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.investors.com/research/options/nvda-stock-today-this-bull-put-spread-could-achieve-an-8-7-return-in-10-days/><strong>Investor’s Business Daily</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Nvidia (NVDA) is not only trading above the 21-day exponential moving average and the 50-day line, but it has also experienced a powerful breakout past a 505.48 buy point in the last few days. Traders...</p>\n\n<a href=\"https://www.investors.com/research/options/nvda-stock-today-this-bull-put-spread-could-achieve-an-8-7-return-in-10-days/\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"NVDA","symbol_name":"英伟达","start_time":0,"source_url":"https://www.investors.com/research/options/nvda-stock-today-this-bull-put-spread-could-achieve-an-8-7-return-in-10-days/","article_id":"1191423303","we_media_id":null,"thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=1191423303","pubTimestamp":1705042242,"sourceInfo":{"source_id":"lsy1671069246760","name":"Investor’s Business Daily"},"weMediaInfo":null,"summary":"We get 509.60, calculated by taking 510 less the $0.40 option premium per contract.I would set a stop-loss if the loss is equal to the amount of premium received, which in this case would be $40.Sticking to this stop loss level will help avoid large losses if the trade goes south.NVDA Stock CheckupAccording to IBD Stock Checkup, NVDA stock ranks No. 1 in its group. It holds a Composite Ratingof 99, anEPS Ratingof 99 and aRelative Strength Ratingof 97.Please remember that options are risky, and i","collect":0,"end_time":0,"defaultTopTitle":"investors.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"NVDA":"英伟达"},"translate_title":"英伟达股票：这种看涨看跌价差可以在10天内实现8.7%的回报","themeId":"","isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"NVDA":1.1},"content_text":"Nvidia (NVDA) is not only trading above the 21-day exponential moving average and the 50-day line, but it has also experienced a powerful breakout past a 505.48 buy point in the last few days. Traders willing to bet that NVDA stock will stay above 510 for the next week or so could look at a bull put spread trade.As a reminder, a bull put spread is a defined risk strategy, so you always know the worst-case scenario in advance.This type of trade will profit if the full-size position on IBD Leaderboard trades sideways or higher — and even sometimes if it trades slightly lower.NVDA Stock Today: The Bull Put Spread SetupNVDA stock traded around 549 on Thursday. So, if we use the Jan. 19 expiration, we can sell a put contract with a 510 strike price. Then, we can buy a 505 put for a net premium received of $0.40 per share for a set of contracts, based on recent trading.Selling this spread would put $40 in a trader's pocket right now. Also, the trade has a maximum risk of $460.If the spread expires worthless that would be an 8.7% return in 10 days, provided NVDA stock stays above 510 at expiration.Risk Vs. RewardThe maximum loss would occur if NVDA stock closes below 505 on Jan. 19. At that point, the premium seller would lose $460 on the trade. The break-even point for the trade? We get 509.60, calculated by taking 510 less the $0.40 option premium per contract.I would set a stop-loss if the loss is equal to the amount of premium received, which in this case would be $40.Sticking to this stop loss level will help avoid large losses if the trade goes south.NVDA Stock CheckupAccording to IBD Stock Checkup, NVDA stock ranks No. 1 in its group. It holds a Composite Rating of 99, an EPS Rating of 99 and a Relative Strength Rating of 97.Please remember that options are risky, and investors can lose 100% of their investment.","kind":null,"is_publish_news":null,"is_publish_highlight":null,"is_publish_live":null,"is_publish_wemedia":null,"editions":null,"symbols":[],"gpt_button":0},"commentList":[{"id":262215931981896,"gmtCreate":1705052506893,"gmtModify":1705052510814,"author":{"id":"3586674249878940","authorId":"3586674249878940","name":"56CcLim","avatar":"https://static.tigerbbs.com/87dfe8273941f7d09718b96911eb7862","vip":1,"crmLevel":6,"crmLevelSwitch":1},"htmlText":"Very easy hit stop loss 40...","listText":"Very easy hit stop loss 40...","text":"Very easy hit stop loss 40...","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":2,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/262215931981896","repostId":1191423303,"repostType":2,"repost":{"id":"1191423303","pubTimestamp":1705042242,"share":"https://www.laohu8.com/m/news/1191423303?lang=&edition=full","pubTime":"2024-01-12 14:50","market":"us","language":"en","title":"Nvidia Stock: This Bull Put Spread Could Achieve An 8.7% Return In 10 Days","url":"https://stock-news.laohu8.com/highlight/detail?id=1191423303","media":"Investor’s Business Daily","summary":"We get 509.60, calculated by taking 510 less the $0.40 option premium per contract.I would set a stop-loss if the loss is equal to the amount of premium received, which in this case would be $40.Sticking to this stop loss level will help avoid large losses if the trade goes south.NVDA Stock CheckupAccording to IBD Stock Checkup, NVDA stock ranks No. 1 in its group. It holds a Composite Ratingof 99, anEPS Ratingof 99 and aRelative Strength Ratingof 97.Please remember that options are risky, and i","content":"<html><head></head><body><p><strong>Nvidia</strong> (<strong>NVDA</strong>) is not only trading above the <strong>21-day exponential moving average</strong> and the <strong>50-day line</strong>, but it has also experienced a powerful breakout past a 505.48 <strong>buy point</strong> in the last few days. Traders willing to bet that NVDA stock will stay above 510 for the next week or so could look at a bull put spread trade.</p><p>As a reminder, a bull put spread is a defined risk strategy, so you always know the worst-case scenario in advance.</p><p style=\"text-align: start;\">This type of trade will profit if the <strong>full-size position on IBD Leaderboard</strong> trades sideways or higher — and even sometimes if it trades slightly lower.</p><h2 id=\"id_4080316972\" style=\"text-align: start;\">NVDA Stock Today: The Bull Put Spread Setup</h2><p class=\"t-img-caption\"><img src=\"https://static.tigerbbs.com/b05db5246ec554f5ed02358adcea1b8c\" title=\"\" tg-width=\"1225\" tg-height=\"640\"/></p><p>NVDA stock traded around 549 on Thursday. So, if we use the Jan. 19 expiration, we can sell a put contract with a 510 strike price. Then, we can buy a 505 put for a net premium received of $0.40 per share for a set of contracts, based on recent trading.</p><p style=\"text-align: start;\">Selling this spread would put $40 in a trader&#39;s pocket right now. Also, the trade has a maximum risk of $460.</p><p>If the spread expires worthless that would be an 8.7% return in 10 days, provided NVDA stock stays above 510 at expiration.</p><h2 id=\"id_2068842931\" style=\"text-align: start;\">Risk Vs. Reward</h2><p style=\"text-align: start;\">The maximum loss would occur if NVDA stock closes below 505 on Jan. 19. At that point, the premium seller would lose $460 on the trade. </p><p style=\"text-align: start;\">The break-even point for the trade? We get 509.60, calculated by taking 510 less the $0.40 option premium per contract.</p><p style=\"text-align: start;\">I would set a stop-loss if the loss is equal to the amount of premium received, which in this case would be $40.</p><p style=\"text-align: start;\">Sticking to this stop loss level will help avoid large losses if the trade goes south.</p><h2 id=\"id_1051141160\" style=\"text-align: start;\">NVDA Stock Checkup</h2><p style=\"text-align: start;\">According to <strong>IBD Stock Checkup</strong>, NVDA stock ranks No. 1 in its group. It holds a <strong>Composite Rating</strong> of 99, an <strong>EPS Rating</strong> of 99 and a <strong>Relative Strength Rating</strong> of 97.</p><p style=\"text-align: start;\">Please remember that options are risky, and investors can lose 100% of their investment. </p></body></html>","source":"lsy1671069246760","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Nvidia Stock: This Bull Put Spread Could Achieve An 8.7% Return In 10 Days</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNvidia Stock: This Bull Put Spread Could Achieve An 8.7% Return In 10 Days\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-01-12 14:50 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.investors.com/research/options/nvda-stock-today-this-bull-put-spread-could-achieve-an-8-7-return-in-10-days/><strong>Investor’s Business Daily</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Nvidia (NVDA) is not only trading above the 21-day exponential moving average and the 50-day line, but it has also experienced a powerful breakout past a 505.48 buy point in the last few days. Traders...</p>\n\n<a href=\"https://www.investors.com/research/options/nvda-stock-today-this-bull-put-spread-could-achieve-an-8-7-return-in-10-days/\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NVDA":"英伟达"},"source_url":"https://www.investors.com/research/options/nvda-stock-today-this-bull-put-spread-could-achieve-an-8-7-return-in-10-days/","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1191423303","content_text":"Nvidia (NVDA) is not only trading above the 21-day exponential moving average and the 50-day line, but it has also experienced a powerful breakout past a 505.48 buy point in the last few days. Traders willing to bet that NVDA stock will stay above 510 for the next week or so could look at a bull put spread trade.As a reminder, a bull put spread is a defined risk strategy, so you always know the worst-case scenario in advance.This type of trade will profit if the full-size position on IBD Leaderboard trades sideways or higher — and even sometimes if it trades slightly lower.NVDA Stock Today: The Bull Put Spread SetupNVDA stock traded around 549 on Thursday. So, if we use the Jan. 19 expiration, we can sell a put contract with a 510 strike price. Then, we can buy a 505 put for a net premium received of $0.40 per share for a set of contracts, based on recent trading.Selling this spread would put $40 in a trader's pocket right now. Also, the trade has a maximum risk of $460.If the spread expires worthless that would be an 8.7% return in 10 days, provided NVDA stock stays above 510 at expiration.Risk Vs. RewardThe maximum loss would occur if NVDA stock closes below 505 on Jan. 19. At that point, the premium seller would lose $460 on the trade. The break-even point for the trade? We get 509.60, calculated by taking 510 less the $0.40 option premium per contract.I would set a stop-loss if the loss is equal to the amount of premium received, which in this case would be $40.Sticking to this stop loss level will help avoid large losses if the trade goes south.NVDA Stock CheckupAccording to IBD Stock Checkup, NVDA stock ranks No. 1 in its group. It holds a Composite Rating of 99, an EPS Rating of 99 and a Relative Strength Rating of 97.Please remember that options are risky, and investors can lose 100% of their investment.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"}],"hasMoreComments":true,"newsSizeData":{"likeSize":8,"commentSize":0,"repostSize":1,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false}}