What if you could own Micron at a 50% discount — and then get paid AGAIN to remove all the risk from the trade?
Micron just ran from $790 to over $1,100. Everyone is asking the same question: did I miss it?
I didn't chase the stock. Instead, I built one trade with:
✅ $6,000 of upside potential ✅ A $145 credit received just to open it ✅ An additional $77 collected to de-risk it weeks later ✅ Currently showing approximately $2,500 in unrealized profit ✅ And once the short put expires in August — zero downside risk remains
What you'll learn in this episode:
✅ Why Micron is a core AI infrastructure play (high bandwidth memory — every AI chip needs it) ✅ Why I didn't chase Micron at $1,100 — and what I did instead ✅ The Finance Bull setup on Micron — exact strikes shown ($850/$910 call spread + $370 put) ✅ How I got paid $145 just to open the position ✅ The rolling move most traders never make — I collected another $77 AND shortened the risk window ✅ Why I rolled the November put to an August expiration (and why long-dated naked puts are dangerous) ✅ How once the August put expires, this trade has $6,000 of pure upside and zero downside ✅ The #1 mistake that turns this trade into gambling ✅ The honest risk — what happens if Micron craters below the strike ✅ The defined risk version — sell the $520, buy the $350 (still ~50% margin of safety) ✅ Real account proof — March 2026, market down 7-8%, this account down less than 1%
Never traded options before? Here's the whole idea in plain English:
Selling a put means: "I agree to buy Micron at a lower price — and I get paid cash today for agreeing."
It's like placing a buy-on-sale order below the market… except the market pays YOU to place it.
❌ Buy Micron at full price — you only win if it keeps going up ✅ Finance Bull — you get paid to enter, win if it rises, get a 50%+ discount if it drops, keep the credit if it goes nowhere
A few weeks after opening, I rolled the short put:
Bought back the November 2026 $370 put Sold a shorter-dated August 2026 $510 put Collected another $77 to make the trade Why? I never hold long-dated naked puts. If the market crashes and fear spikes, they're dangerous. By rolling the put in, I:
✅ Got paid $77 more ✅ Shortened the risk window by three months ✅ Kept the full $6,000 call spread intact
And once that August put expires? Zero risk. Pure $6,000 upside remaining.
Short the risk. Long the reward. That's the name of the game.
The honest risk — no sugarcoating:
If Micron craters far below the put strike, I get assigned above the market price. That's the real loss scenario. That's exactly why I only sell puts at prices where I'd be genuinely happy to own the stock for years.
At $370, I'm getting Micron at more than a 50% discount from where it trades today. If that happens, I'm not upset — I'm buying one of the best AI memory companies in the world on sale.
No trade is risk-free. This one pays me to take a risk I already wanted.
The defined risk version:
Instead of selling the naked $370 put:
Sell the $520 put Buy the $350 put Maximum loss capped at $170 per share instead of $370 per share Still approximately 50% margin of safety from current price Still keeps the full $6,000 call spread upside The higher strike brings in more premium — which you use to fund the protective $350 put.
Who is telling you this?
I'm David Jaffee — former Wall Street investment banker (Morgan Stanley, CIBC, Pesky Prunier), Ivy League graduate, 10+ years as a full-time options trader. Every trade shown has been sent to my Trade Alerts members in real time.
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