27% profit every 20 days?
This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.
Gap Inc (NYSE:GPS) Thursday reports earnings after the bell. Shares of Gap have lost close to 17% over the past month.
On CNBC's "Options Action," Tony Zhang said that the stock trading more than 5.4 times its average daily volume. The market is implying a move of 13.7% going into the earnings event, he added.
A trader bought 2,011 of the March 15 puts and sold 2,011 of the June 14 puts to open at a net credit of 30 cents per contract, Zhang mentioned. “This is really an extension of what is a neutral to bullish view here on Gap, he said. The trade obligates the trader to buy $2.75 million worth of Gap shares if the stock ends below $14 by the June expiration, Zhang added.
27% profit every 20 days?
This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.
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