9/24/2022 Plan:
This week we take a look at airbnb (Ticker: ABNB)
9/24/2022 Plan (continued):
- ABNB- Sell Oct 21 85/80 put spreads for 0.58
- Prices are as of market close 9/23/2022, actual fill and strikes may differ depending on Monday’s open, post will be updated accordingly.
- All trades are for educational purposes and do not constitute advice
9/24/2022 Commentary:
Straight forward put spread play in airbnb – a name we’ve traded multiple times. This put spread is below the 52 week low of 86.71. With the volatile markets a perfectly acceptable play is to simply sit-out and wait for a bit more of a recovery. DO NOT place any trades that you can’t afford. If a total loss on a put spread is too much, wait for calmer markets and work on increasing your trading capital to make a given put spread a smaller percentage of your account. Cash actually pays much better than it has for years and you can get paid a bit to wait.
Feel free to Reach out with questions on this or anything else!
9/26/2022 Entry:
Sold the Oct 21 85/80 put spreads for 0.47
10/9/2022 Update:
The ABNB put spreads are worth 0.11 and can be closed at any time for a tidy profit. They are 2 weeks left on this trade.
10/16/2022 Update:
The ABNB put spreads expire this week. They can be closed for 0.03 to take the risk off the table, a sound move.
10/23/2022 Close:
The ABNB put spreads expired this week worthless, which adds $47 of profit per spread sold. I had tried to take them off early in the week for 0.01 but was unable to do so. Whether you closed them early or they expired, a nice win!
