May 13, 2020  Terry’s Tips Trade Alert – Honey  Badger   Portfolio

 

With the stock falling big-time for the second straight day, we have become uncomfortably long:

 

BTC 12 MSFT 15May20 190 calls (MSFT200515C190)

STC 12 MSFT 29May20 190 calls (MSFT200529C190) for a credit limit of $.80 (selling a calendar)

 

If that trade executes:

 

BTC 5 MSFT 15May20 190 puts (MSFT200515P190)

STC 5 MSFT 22May20 190 puts (MSFT200522P190) for a credit of $.87 (selling a calendar)

 

BTO 4 MSFT 29May20 177.5 puts (MSFT200529P177.5)

STO 4 MSFT 15May20 177.5 puts (MSFT200515P177.5) for a debit of $3.09  (buying a calendar)

 

Be[Ta1]  prepared to change this (these) price limit(s) by $.05 or more in order to get an execution.

 

Happy trading.

Terry