Just a little while ago, with RH at $99.90, I sold a 10 contract $99.50 Put for a premium of $2.50 for $2500. When I posted the trade, RH started moving up. I mentioned in that post that I was looking to get out of the position if I could make $1000 today. I did the “Sell to Open” for $2.50 and I just got executed on a “Buy to Close” for $1.50. I made $1000 in about 1 hour, and that money is now in my mattress.
1/22/18 – Sell to Open 10 RH 1/26/18 $99.50 P @ $2.50 (+$2500)
1/22/18 – Buy to Close 10 RH 1/26/18 $99.50 P @ $1.50 (-$1500)
Profit +$1000
If you have any questions on how Puts work please send me an email.
Steve
The Options Coach