2 Option Trade Ideas To Consider This Thursday

Core Insights - The article discusses investment opportunities in Amazon (AMZN) and Palantir (PLTR) through bullish option strategies, specifically bull put spreads [3]. Group 1: Amazon - The bull put spread for Amazon involves selling the October expiry $220 strike put and buying the $215 strike put, resulting in a credit of approximately $0.87 or $87 per contract, which is the maximum possible gain [7]. - The maximum potential loss for this trade is calculated as $413, derived from the spread width minus the premium received [7]. - The return potential for this trade is 21.07%, with an estimated loss probability of 23.2%. The Barchart Technical Opinion rating for Amazon is a 100% Buy, indicating a strengthening short-term outlook [8]. Group 2: Palantir - The bull put spread for Palantir involves selling the October expiry $155 strike put and buying the $145 strike put, resulting in a credit of approximately $1.83 or $183 per contract, which is the maximum possible gain [10]. - The maximum potential loss for this trade is calculated as $817, based on the spread width minus the premium received [10]. - The return potential for this trade is 22.40%, with an estimated loss probability of 25.2%. The Barchart Technical Opinion rating for Palantir is an 80% Buy, with a weakening short-term outlook [12].