Paid Daily · Resources · Ask Plutus
This Bullish Options Trade Costs Almost Nothing to Put On
NowPress play to follow along0:00 / 6:31
Chapters4 segments · tap to seek
ticker lesson
Breakdown
0:00MU· ticker
Micron — short put spread, long call spread
- Micron down 5% today, down 50 points
- Sold 800-780 put spread, bought 1100-1120 call spread
- Entire trade financed for $14
- Max profit $2,000 if rally reaches 2100
- Targeting rally by end of month
1:54lesson
Options trade mechanics
- Short put loses value on rally, long call gains value
- Credit on entry/exit if spreads invert
- Break down short/long spreads for clarity
- Trade remains neutral if Micron stays between 800-1100
3:40lesson
Strike selection & liquidity
- Focus on 800/1100 strikes with high open interest
- Options worth thousands despite $100 bid-ask spreads
- Immediate fills possible due to liquidity
- 21M shares traded today for Micron
5:38lesson
Volatility & risk management
- Realized volatility drives fast price movements
- Expect quick rallies within expected move range
- Close position on significant rallies
- Target small profit of $300-$400
Informational only — this is tastylive’s content, decoded by Plutus. Not Paid Daily’s advice or a recommendation. The outline, timestamps, and claims are extracted from what the creator said; verify before acting.