September 10, 2020 - MDT Alert (QRVO)

Today, I am going to suggest one more position. And it will be a short term hedge position with a bearish bias.

The stock is Qorvo, Inc. (QRVO).

QRVO is trading around $121 as I write this.

The idea will be similar to the recent CRUS alert we just closed out.

I am going to suggest a one half hedge position on the stock.

Here is the suggestion:

Buy to Open (1) October 16th - $125 Call @ $5.70

Buy to Open (2) October 16th - $120 Puts @ $6.50

Each position will cost $1,870.

Based on the nominal portfolio, I suggest you limit this trade to a 1 lot, which will cost $1,870 or 1.8% of the tracking portfolio.

This will result in you buying 2 of the $120 puts and 1 of the 125 calls.

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