Trade of the Week (2 Sep 2022)

Last week I made a trade for a $214(1.07%) gain on a $20K account when it expires at the end of the day today.  If I had been invested in a NASDAQ ETF, I would have had a loss of about 4% at the market close on Friday.

This week's trade of the week is a Put Credit Spread again. I'll sell 2 PUT options on NQX with a strike price of $2,240 and an expiration of 9 September.  At the same time, I'll buy 2 PUT options on NQX with a strike price of $2,190 and an expiration date of 9 September. This trade has a maximum gain of about $220 as long as NQX closes above $2,240 on Friday, 9 September, 2022. I made this trade in my account that has a cash balance of $20,000. I am only using half of my available cash so that I can fix the trade in the unlikely event that NQX happens to fall by 7% this week.

The trade discussed above is not a recommendation but is merely an account of what I may have executed in the past.