Investors in the Invesco QQQ Trust (Symbol: QQQ) can now explore new August 11th option contracts. A notable put contract at the $665.00 strike price has a current bid of $12.12. Selling this put would require purchasing shares at $665.00, effectively reducing the cost basis to approximately $652.88, presenting a potential discount compared to the current share price of $668.76.
On the call options side, the $675.00 strike price has a current bid of $13.26. If investors buy shares at $668.76 and sell this call as a covered call, they could realize a total return of 2.92% if the stock is called away at expiration. The estimated odds of the put contract expiring worthless are 58%, while for the call, they stand at 52%.
The implied volatility for the put contract is 29%, whereas the call contract’s is 28%. Actual trailing twelve-month volatility is calculated at 19%, against a backdrop of recent trading metrics for QQQ.
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.
