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Todd Gordon's Bullish AMD Option Trade

Todd Gordon's Bullish AMD Option Trade

Todd Gordon of shared with the viewers of CNBC's "Trading Nation," his bullish options strategy in Advanced Micro Devices, Inc. (NASDAQ: AMD).

The stock broke its long-term resistance and Gordon believes it's going to continue to trade higher. He has also noticed a big open interest in the January 2021, $65 strike calls and he sees that as a bullish sign.

To make a bullish bet, Gordon wants to buy the February 2020, $40/$45 call spread for $1.85. The trade breaks even at $41.85 and it can maximally make a profit of $3.15. If the premium gets cut down to 92 cents, Gordon is going to close the trade.

Related Links:

Decoding AMD's Breathtaking 2-Year Rally

Bank Of America Likes AMD, Nvidia Ahead Of 2020 Gaming Market Recovery

Posted-In: CNBC Todd Gordon Trading NationLong Ideas Options Markets Media Trading Ideas Best of Benzinga


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