I closed 1 lot(s) $PLTR 20250509 86.0 PUT$ ,Using RSI to Identify Resistance: My PLTR Trade Example Technical indicators are powerful tools for option traders, and among them, the Relative Strength Index (RSI) stands out when it comes to spotting overbought conditions and anticipating potential resistance levels. Recently, while monitoring Palantir Technologies Inc. (PLTR), I used RSI to successfully time an exit from a cash-secured put position and realized a profit of $230. On April 23, 2025, PLTR’s price surged to $103.76, but more importantly, the RSI(6) spiked to 76, which signaled that the stock had entered an overbought zone. The RSI is a momentum oscillator that ranges from 0 to 100. Values above 70 generally sugg
I opened 1 lot(s) $PLTR 20250502 80.0 PUT$ ,Generating Income Through Cash-Secured Puts: My PLTR Trade On April 23, 2025, I sold one cash-secured put option for Palantir Technologies Inc. (PLTR) with a strike price of $80, expiring on May 2, 2025. The premium I collected was $0.30 per share, totaling $30 for the contract. This trade represents a common options strategy known as the cash-secured put, where I commit to potentially buying 100 shares of PLTR at $80 per share if the stock price falls below that level by the expiration date. In return for taking on this obligation, I receive an upfront premium. The key benefit of selling a cash-secured put is the ability to generate income on stocks I want to own at a discount.