Dan Nathan's SPDR S&P 500 ETF Trust Hedge


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.


On CNBC's Options Action, Dan Nathan spoke about a possible decline in the S&P 500 and he recommended a hedging options strategy in SPDR S&P 500 ETF Trust (NYSE:SPY) as a way to limit losses in case of a correction.

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He thinks options are currently very cheap and he wants to buy the May 230/210 put spread for $2.75. The trade breaks even at $227.25 or 3.33 percent below the current market price of SPDR S&P 500 ETF Trust and it can maximally make a profit of $17.25, in case the stock drops to $210 or lower.


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.


Posted In: CNBCOptionsMarketsMediaETFsDan NathanOptions Action