Hedge Alert for QQQ.
Our system has signaled the need to adjust our hedge, and for our model portfolio sizing, the hedging trade we are utilizing is:
Sell To Close 7.00 QQQ 2018-12-07 $162.00 Puts
Buy To Open 4 QQQ JAN 2019 $156.00 Puts
Mid-market at the time of publication is for a credit of $1.09 – legs prices are $2.49 on the December 7th $162 puts and $3.27 on the January 18th $156 puts.
If you are interested in hedging your portfolio, please reach out to your investment advisor to determine the appropriate size and implementation of a hedge as each portfolio will have different risks depending on market Beta.
For more information on how we calculate our hedging protocol at Option Hotline, see https://optionhotline.com/portfolio-hedging-course/
Thanks for subscribing to Big League Options with the Option Hotline!