Looking For Safety In Apple Stock Trades – Dec 3 2014

Dec 3, 2014 | Apple Stock (AAPL), Trade Alerts and Ideas

I have been trading Credit Put Spreads in Apple Stock throughout 2015. I have stayed with the weekly options using the bi-weekly put selling strategy but with credit put spreads only.

With the stock recently trying to decisively break through $120.00 I have been more cautious. It is important to understand that while the Price to Earnings ratio may seem quite reasonable, Apple is a company with heavy competition. Their arena of products is challenged at every turn. iPad sales have been okay, but not stellar whereas Microsoft’s Surface Pro 3 product continues to make inroads along with a slew of android tablets and other still cheaper tablet style devices out of Asia.

This year the iPhone6 is apparently one of the more sought after Christmas items. The iPhone lineup is truly where the core strength of Apple lies. This is the key spot to keep watch for any decline in the number of units sold, not shipped, but sold.

The Biweekly Put Selling Strategy has brought in stellar returns, and while I am preparing for it to continue into 2015, I know that a stock like Apple can be filled with dangers for those who sell put contracts. Apple stock can plunge overnight or rally in a heartbeat. That’s what makes option premiums fat and the trades exciting and challenging.

Overall though I prefer safety of capital first and profits second. This article looks out at Apple Stock as it enters the Christmas season to see what strengths there are and its many weaknesses to aid in my profits into the end of the year.

Apple Stock Trade Ideas and Outlook Into Christmas

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