XLE Energy Sector approaching ATH. Options play with Cushion
With energy prices continuing their rise due to global shortages and war, XLE has climbed over 50% YTD. The potential upside to all-time highs, along with the intact trend since March of 2020 are enticing. It might be harder to take on a position after a 100% YoY increase and not feel like its FOMO. So, I look for options to enter with a bullish outlook but protect from downside volatility. Using a custom options strategy we can build in a 23% cushion ($65.38) and still capture all the upside to the ceiling ($89.13).
Using this strategy, it’s possible to make up to 9% (15% annualized).
Start to lose only if XLE falls by more than 22% to below $63.58 as of 03/31/2023.
Option Order
Buy 1 $82 call
Sell 1 $87 call
Sell 1 $64 put
Exp 3/31/23
Required to invest: $6,362.98
Using this strategy, it’s possible to make up to 9% (15% annualized).
Start to lose only if XLE falls by more than 22% to below $63.58 as of 03/31/2023.
Option Order
Buy 1 $82 call
Sell 1 $87 call
Sell 1 $64 put
Exp 3/31/23
Required to invest: $6,362.98
면책사항
해당 정보와 게시물은 금융, 투자, 트레이딩 또는 기타 유형의 조언이나 권장 사항으로 간주되지 않으며, 트레이딩뷰에서 제공하거나 보증하는 것이 아닙니다. 자세한 내용은 이용 약관을 참조하세요.
면책사항
해당 정보와 게시물은 금융, 투자, 트레이딩 또는 기타 유형의 조언이나 권장 사항으로 간주되지 않으며, 트레이딩뷰에서 제공하거나 보증하는 것이 아닙니다. 자세한 내용은 이용 약관을 참조하세요.