December 19, 2014 7:19 AM | 1 min read |
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.
Mike Khouw spoke on
CNBC's Options Action about a bullish bet in
McDonald's Corporation (NYSE: MCD) that caught his attention on Thursday.The trading activity in the name was 3 times higher than the daily average for options and the most active were the January 95 call options. A trader bought 39,000 contracts of the January 95 call options for $1.41, paying around $5.5 million for the premium. The break even for this trade is at $96.41, which means that the buyer is expecting to see
McDonald's Corporation 3 percent higher at the January expiration. Khouw added that increased trading activity in the recent days has resulted in the increase of implied volatility for
McDonald's Corporation's options.
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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