Investors in the Invesco QQQ Trust (Symbol: QQQ) gained new options for the July 21st expiration, including a notable put contract at the $700.00 strike price, currently bid at $9.06. If exercised, investors could effectively purchase shares at a cost basis of $690.94, which represents a 1% discount to the current trading price of $708.14. The probability of this put contract expiring worthless is approximately 63%, potentially offering a premium return of 1.29%.
Additionally, a call contract at the $715.00 strike price is available, with a bid of $11.10. If shares are purchased at $708.14 and the call sold, investors could achieve a total return of 2.54% at expiration. The likelihood of this call expiring worthless is around 54%, with a potential yield boost of 1.57% if the option isn’t exercised.
The implied volatility for the put is 25%, while the call stands at 23%. The trailing twelve-month volatility for QQQ has been calculated at 18%.
5 Stocks Our Experts Predict Could Double In the Next Year
By submitting your email, you'll also get a free pivot & flow membership. A free daily market overview. You can unsubscribe at any time.
