Option Investor

Current Position Hedge

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Proshares Ultra Long S&P (SSO) has bounced nicely from last week's retest of the $25 support level. My suggestion is to sell the 40 calls for November for $0.45 - 0.50 per contract.

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There is resistance just above $40 which should provide the technical risk management (see chart). It should be noted that this week is full of market moving data and that stops should be managed closely. Another suggestion is to cover the short puts if you want to reduce your long exposure. I am watching the following stocks to add for November: AAPL(Calls),DIG(Puts),ABT(Puts),CMG(Puts),MCD(Puts),GLD(Puts). Stay tuned today.

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