Options Sell Call Spread on Paypal for $60 per Spread- June 2018

Posted in: Options Trading, Spotlight Power Trader, Trade Of The Week, Trading Article

In this week’s Options Trade Of The Week, we will use our Spotlight Power Trader system to identify a bearish trade opportunity on PayPal (Symbol: PYPL).

With the market making a big move higher over the last few weeks,  we are left with many overbought markets. This is especially true with many of the Nasdaq names.

PYPL has made a really nice mover higher over the last month pushing up over 20% since May 2018 and as a result,  we are looking to sell a call spread to benefit from either a pullback or a period of consolidation.

Selling a call spread will give us 5 different ways of making money on the trade. The best part about this trade is it will only take $60 per spread to put on which makes this a great trade for all types of account sizes.

 

Options Trading Video – Selling Call Spread On Paypal

In the video below, I will walk through the thought process on selling a Call Spread on PYPL and also piece it together from start to finish.

Next week we will recap our open trades and also look to add a new trade of the week.

The following two tabs change content below.

Leave a Reply

Your email address will not be published. Required fields are marked *

* :

* :

* :

: