[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)$​​

# Options Hub

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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  • chan tow
    ·2022-10-06
    TOP
    time to buy TSLA, whenever Elon is acting weird to the ordinary eyes
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    • KPTan
      ya
      2022-10-06
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  • Slow slow
    ·2022-10-06
    TOP
    马斯克不走寻常路哈 [难过]
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  • Padres
    ·2022-10-06
    What if Elon cannot get financing for the deal? $TWTR goes kaput immediately. Sell call will be safer option
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    • Green_BullReplying toAzerone.Kee
      What if he chg his mind and pay the 1b backout deal. Twtr will go to $20 range
      2022-10-07
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    • Azerone.Kee
      he surely can get one, but the matter is whether he and the banker can compromise and get the agreement acceptable by both parties or not.
      2022-10-07
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  • EKOS
    ·2022-10-06
    175억 달러 상당의 자본이 이번주 펀드 시장을 떠납니다.
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  • BeatriceChau
    ·2022-10-06
    👍🏻👍🏻👍🏻👍🏻👍🏻
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    • Geniex
      [Happy]
      2022-10-06
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  • iNkwiziTs
    ·2022-10-13
    ding dong.. back & forth story
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    • Azerone.Kee
      This fellow always talk or do something without thinking.
      I don't even want to touch his company's stock, lest I suffer losses because of his whims.
      2022-10-13
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  • lol. thanks
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  • Yoko Titan
    ·2022-10-14

    Musk Revived to Buy Twitter

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  • KryZ
    ·2022-10-07
    Hmm...interesting
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  • Samlunch
    ·2022-10-07
    Sounds like a plan
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  • potato112
    ·2022-10-07
    another of his pump and dump strategy
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  • LowZackM
    ·2022-10-06
    Shorted TSLA another drama again
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  • jethro
    ·2022-10-07
    thanks for the share
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  • RT126
    ·2022-10-06
    OMG. Why Twitter
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  • YangXH
    ·2022-10-06
    Thanks for sharing
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  • AricLo
    ·2022-10-06
    thanks for sharing
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  • Kc48
    ·2022-10-06
    Tks for sgaring
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  • Vic_yk
    ·2023-01-12
    👍
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  • Yich
    ·2022-11-16
    [Cool][Cool]
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  • Yich
    ·2022-11-14
    [Cool][Cool]
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