This was a vertical spread. I sold the $40 put for $1.66 and bought the $30 put for $0.16 cents where I sold the spread ( short ) for $1.50 and then bought it to close for $0.25 cents. I could have rode it further all the way till expiration but anytime I am at 75% profitable in any spread I close the position for the risk outweighs the reward at that point.
*Results may not be typical and may vary from person to person. Making money trading stocks takes time, dedication, and hard work. There are inherent risks involved with investing in the stock market, including the loss of your investment. Past performance in the market is not indicative of future results. Any investment is at your own risk. See Terms of Service here.