Bear Put Spread Screener Results for January 2nd

Core Viewpoint - The article discusses the bear put spread strategy, which is designed to profit from a decline in stock prices, highlighting specific examples from Nvidia, Netflix, and Broadcom [1][2]. Group 1: Bear Put Spread Overview - A bear put spread is a vertical spread that profits from a stock's price decline, characterized by a bearish directional bias [1]. - The strategy involves buying an out-of-the-money put and selling a further out-of-the-money put, with maximum profit equal to the distance between the strikes minus the premium paid [2]. Group 2: Nvidia Example - The Nvidia bear put spread uses a March 20 expiry, involving buying the $200 put and selling the $195 put [3]. - The cost of the trade is $320, which is also the maximum loss, while the maximum gain is calculated as $180 [3]. - The breakeven price for this trade is $196.80 [4]. Group 3: Netflix Example - The Netflix bear put spread also uses a March 20 expiry, involving buying the $100 strike put and selling the $96 strike put [5][6]. - The cost of the trade is $265, which is the maximum loss, and the maximum possible gain is $135 [6]. Group 4: Broadcom Example - The Broadcom bear put spread uses a March 20 expiry, involving buying the $370 strike put and selling the $360 strike put [7][8]. - The cost of the trade is $700, which is the maximum loss, while the maximum possible gain is $300 [8].