Dan Nathan's Bearish Semiconductor ETF Trade


20-Year Pro Trader Reveals His "MoneyLine"

Ditch your indicators and use the "MoneyLine". A simple line tells you when to buy and sell without the guesswork. It’s a line on a chart that’s helped Nic Chahine win 83% of his options buys. Here's how he does it.


Dan Nathan spoke on CNBC's "Options Action" about VanEck Vectors Semiconductor ETF (NYSE:SMH). The semiconductor stock could trade lower into the year end, said Nathan.

He suggested a bearish options strategy to make money in case of a potential move lower. Nathan wants to buy the January 102/90 put spread for a total cost of $3. The trade breaks even at $99 or 3.83 percent below the current market price and it can maximally make a profit of $9.


20-Year Pro Trader Reveals His "MoneyLine"

Ditch your indicators and use the "MoneyLine". A simple line tells you when to buy and sell without the guesswork. It’s a line on a chart that’s helped Nic Chahine win 83% of his options buys. Here's how he does it.


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Posted In: CNBCOptionsMarketsMediaETFsDan NathanOptions Action