RETIREMENT: Should You Take Social Security ASAP? Oscar Health (OSCR) is a volatile stock, which translate to high option premiums. For traders wanting to take advantage of that high volatility with this health insurer, a cash-secured put could be an attractive way to potentially buy the stock at a discount. As a reminder, a cash-secured put involves writing an at-the-money or out-of-the-money put option and simultaneously setting aside enough cash to buy the stock. The goal is to either have the put expir ...

The strategy can be profitable if the stock trades lower, sideways, and even if it trades slightly higher, as long as it stays below the short call at expiry. Potential Return Of 20.5% A bear call spread with an Oct. 17 expiration using strike prices of 72.50 to 77.50 can be sold for around 105 cents a share. Traders selling the spread would receive $105 in option premium which is also the maximum possible gain. The maximum loss would be $395. That represents a potential return of 26.6% between now and Oct. ...