Buying AMZN put contracts.
Amazon.com (AMZN) has moved sharply higher as the current bear market rally has developed.
The stock is now approaching its 200-day moving average — which will likely turn out to be a key resistance area.
At its current price above $140, AMZN is priced for perfection. The stock trades for roughly 60 times next year’s expected profits, at a time when investors are moving capital out of growth stocks and into value plays.
Adding a bearish AMZN position helps to balance our overall Spec Model Portfolio which is currently holding more bullish exposure to profit from the current bear market rally.
- Buy (to open) 6 AMZN September 16th $155 Puts
- Limit $15.20 or less
- The new position will represent roughly 7.9% of our Spec Model capital
- 13:24 Executed
- Bot 6 AMZN September 16th $155 Puts @ $14.05