Dan Deming's Microsoft Options Trade

Dan Deming of KKM Financial suggested on Bloomberg Markets that investors should consider an options trading strategy in Microsoft Corporation MSFT.

He wants to sell the February 65 call and buy the March 65 call for a net debit of $0.16. In order to make money with the trade, Microsoft has to trade below $65 at the February expiration. After that, when the February 65 call expires worthless, the stock has to trade above $65.16, which is the break even point.