LIVE AT 1 PM ET see the ticker behind 24 straight trade wins — let’s go for No. 25!
I entered a simple bull call spread on MicroStrategy on Thursday, eyeing a trade with a low-cost entry but strong upside potential.
So this is the perfect time to go over it and explain in the simplest terms how we can execute trades like this.
With MicroStrategy’s (MSTR) current price levels and overall market conditions, this trade setup allows for a robust potential return with a small initial investment — an approach that fits well with a capital-efficient trading plan.
Here’s the breakdown…
I entered the bull call spread with a $3.30 debit, aiming for a possible max profit of $15.00 per contract. Now, I’m not looking to hold this trade all the way to expiration to squeeze every last dollar out of it.
But even if I close it early, the potential gains are impressive.
Let’s say we see MicroStrategy make a solid, upward move toward $350 or $360 over the next three to four months (it’s at $275 this morning) — a reasonable target, considering its past price action and the ongoing rally.
In that scenario, I’m likely to close the trade for a return between $6.60 and $9.90, effectively doubling or even tripling the initial investment.
This is exactly the kind of risk/reward profile I like to see. If MicroStrategy does rally, this approach can pay off without requiring a massive capital commitment.
What I appreciate about this trade — and why I selected it over buying straight calls — is that it offers a high probability of gains without the elevated risk that often comes with outright call options on a volatile stock like MSTR.
Instead of getting caught up in out-of-the-money calls that might never get close to their strike, this spread lets me stay “in the money” without overspending on premium.
For context, I recently used a similar strategy with the Russell 2000. I set up a deep in-the-money bull call spread there, which initially cost around $7.60 and yielded nearly a 100% return.
I closed it out well before expiration, capitalizing on the upward momentum without the stress of waiting for the full strike price. This win reinforced the approach, and it’s a tactic I’ll continue to employ when the setup aligns.
At the end of the day, the goal isn’t just to make big profits but to make calculated, high-reward trades that maximize returns on capital. It’s about finding the right balance — entering spreads with low debits but strong upside potential — and closing them at the right time.
MicroStrategy’s setup checked these boxes, and while I’ll monitor it closely, I’m optimistic this spread could deliver the kind of gains that make it a worthwhile addition to the portfolio.
So if you’re watching MSTR or similar setups, this might be one to consider. Keep an eye out for price movements that signal a move toward that $350–$360 range. If we get there sooner than later, this trade could turn into a solid winner.
If you want to see me explain this in real time, check out my “Final Hour” session from Thursday — please like and subscribe!
I’ll see you in the markets.
Chris Pulver
Chris Pulver Trading
Follow along and join the conversation for real-time analysis, trade ideas, market insights and more!
-
- Telegram: https://t.me/+av20QmeKC5VjOTc5
- YouTube: https://www.youtube.com/@ChrisPulverTrading
- Twitter: https://x.com/realchrispulver
- Facebook: https://facebook.com/therealchrispulver
*This is for informational and educational purposes only. There is inherent risk in trading, so trade at your own risk.
P.S. [LIVE AT 1 PM ET] See the Ticker Behind 24 Straight Trade Wins — Let’s Go for No. 25!
I’m LIVE right now on Zoom revealing how we’ve hit on 24 straight wins…
And you can join us at 1 p.m. ET TODAY, Nov. 8, for what we hope will be win No. 25 in a row!
There are no guarantees in the stock market, but this perfect “Weekly Windfall” ticker hasn’t lost once yet!
Right now, I’m showing…
- The exact ticker behind this unbeaten streak.
- The precise 11:59 a.m. ET Monday setup.
- How we’re targeting win No. 25.
- Why this trade keeps winning in any market.
And while we cannot promise future returns or against losses….
Join the Zoom Here to Shoot for 25-0!
The profits and performance shown are not typical, we make no future earnings claims and you may lose money. From 9/30/24 – 11/7/24 on live trades the win rate is 100%, 18% average return, with an average hold time of 11 days.
