{"id":7633,"date":"2020-05-12T10:32:56","date_gmt":"2020-05-12T14:32:56","guid":{"rendered":"http:\/\/www.mainstbeatswallst.com\/?page_id=7633"},"modified":"2020-05-13T08:43:05","modified_gmt":"2020-05-13T12:43:05","slug":"peloton-triple-play-hedge","status":"publish","type":"page","link":"https:\/\/www.mainstbeatswallst.com\/?page_id=7633","title":{"rendered":"Peloton &#8220;Triple Play Hedge&#8221;"},"content":{"rendered":"<p><a href=\"https:\/\/i0.wp.com\/www.mainstbeatswallst.com\/wp-content\/uploads\/2016\/05\/Risk3-1.png\"><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" data-attachment-id=\"1552\" data-permalink=\"https:\/\/www.mainstbeatswallst.com\/?attachment_id=1552\" data-orig-file=\"https:\/\/i0.wp.com\/www.mainstbeatswallst.com\/wp-content\/uploads\/2016\/05\/Risk3-1.png?fit=75%2C88&amp;ssl=1\" data-orig-size=\"75,88\" data-comments-opened=\"1\" data-image-meta=\"{&quot;aperture&quot;:&quot;0&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;0&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;0&quot;,&quot;iso&quot;:&quot;0&quot;,&quot;shutter_speed&quot;:&quot;0&quot;,&quot;title&quot;:&quot;&quot;,&quot;orientation&quot;:&quot;0&quot;}\" data-image-title=\"Risk3\" data-image-description=\"\" data-image-caption=\"\" data-medium-file=\"https:\/\/i0.wp.com\/www.mainstbeatswallst.com\/wp-content\/uploads\/2016\/05\/Risk3-1.png?fit=75%2C88&amp;ssl=1\" data-large-file=\"https:\/\/i0.wp.com\/www.mainstbeatswallst.com\/wp-content\/uploads\/2016\/05\/Risk3-1.png?fit=75%2C88&amp;ssl=1\" class=\"size-full wp-image-1552 alignleft\" src=\"https:\/\/i0.wp.com\/www.mainstbeatswallst.com\/wp-content\/uploads\/2016\/05\/Risk3-1.png?resize=75%2C88\" alt=\"\" width=\"75\" height=\"88\" \/><\/a>If you&#8217;re a loyal reader you know I jumped out of some Long LEAPS positions yesterday. I locked in a whopping $8500 on a Monday. Some might say these stocks still have room to go up, but I say let me stick this profit in my mattress. And, if these stock go up, will I be losing potential money? I don&#8217;t think so! I&#8217;m already putting the money to work in positions I feel will do better, and will fit into my strategy.<\/p>\n<p>This morning I did a <span style=\"color: #0000ff;\"><a style=\"color: #0000ff;\" href=\"http:\/\/www.mainstbeatswallst.com\/?page_id=396\">Triple Play Hedge<\/a><\/span> with Peloton (PTON). I bought 1000 shares at $43.70 and sold (3) 10 contract Calls, all expiring this Friday. I sold the $44 call for a premium of $1.75 ($1750), \u00a0the $48 Call for a premium of 75\u00a2 ($750) and the $49 Call for a premium of 50\u00a2 ($500). The stock is going up but if it goes down I have the 3 Calls as hedging. If the stock goes down my Short Calls increase in value. My $44 Call is covered with the 1000 shares, the other 2 are Naked. If the stock goes up to my $48 Call I&#8217;ll buy another 1000 shares to cover that Call. I feel this move will work out well.<\/p>\n<h4 style=\"text-align: center;\"><span style=\"text-decoration: underline;\"><strong>Peloton &#8211; Triple Play Hedge<\/strong><\/span><\/h4>\n<p style=\"text-align: center;\"><strong>Buy 1000 Shares of PTON @ $43.70<\/strong><\/p>\n<p style=\"text-align: center;\"><strong>Sell to Open 10 PTON 5\/15\/20 $44.00 C @ $1.75 (+$1750)<\/strong><\/p>\n<p style=\"text-align: center;\"><strong>Sell to Open 10 PTON 5\/15\/20 $48.00 C @ $75\u00a2 (+$750)<\/strong><\/p>\n<p style=\"text-align: center;\"><strong>Sell to Open 10 PTON 5\/15\/20 $49.00 C @ 50\u00a2 (+$500)<\/strong><\/p>\n<p>I like Peloton right now. The stock is doing well with the coronavirus. There are a lot of people staying home and still getting their exercising in. Peloton in the maker of the best smart stationary bike and fitness programs.<\/p>\n<p>I&#8217;m hoping I get assigned on the 1000 shares and the other 2 Calls expire worthless. My total premium for this Triple Play Hedge is $3000. This position has a Covered Call but it also has 2 Naked Call so I give this trade a <strong>Risk Factor 3<\/strong>.<\/p>\n<p>Successful Trading,<\/p>\n<p>Steve<\/p>\n<p><em>The Options Coach<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>If you&#8217;re a loyal reader you know I jumped out of some Long LEAPS positions yesterday. I locked in a whopping $8500 on a Monday. Some might say these stocks still have room to go up, but I say let me stick this profit in my mattress. And, if these stock go up, will I [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"class_list":["post-7633","page","type-page","status-publish","hentry"],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/P75MP0-1Z7","jetpack-related-posts":[],"_links":{"self":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages\/7633","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=7633"}],"version-history":[{"count":2,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages\/7633\/revisions"}],"predecessor-version":[{"id":7638,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages\/7633\/revisions\/7638"}],"wp:attachment":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=7633"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}