Core Insights - The market is showing encouraging signs, suggesting that bull put spread trades could perform well if the trend continues [1] Group 1: Bull Put Spread Overview - A bull put spread involves selling a naked put and buying a further out-of-the-money put to create a spread, which is considered less risky than a naked put due to capped losses [2] - These trades are characterized as short-term and high risk, suitable only for experienced option traders [2] Group 2: Apple (AAPL) Bull Put Spread Example - Apple (AAPL) is rated a 100% Buy and is currently above the 21, 50, and 200-day moving averages, indicating strength [3] - A bull put spread can be created by selling the December 19 put with a strike price of $275 and buying the $270 put, trading at around $0.89, which provides a premium of $89 and a maximum risk of $411 [3] - This trade represents a 21.65% return on risk if AAPL remains above $275 until December 19, with a breakeven point at $274.11 [4] Group 3: Alphabet (GOOGL) Bull Put Spread Example - Alphabet (GOOGL) stock is rated a 100% Buy and has a strengthening short-term outlook [6] - A bull put spread can be established by selling the December 19 put with a strike price of $300 and buying the $290 put, trading at around $1.08, which provides a premium of $108 and a maximum risk of $892 [7] - This trade represents a 12.11% return on risk if GOOGL remains above $300 until December 19, with a breakeven point at $298.92 [8]
3 Bull Put Spread Ideas to for December 2025
Yahoo Finance·2025-12-05 12:00