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LVS Bull Put Spread

The 1,050 level held on the S&P this morning, which leads us to believe at least a short-term bounce is going to take place. There are not a lots of great setups out there right now, but one that caught our eye is Las Vegas Sands (LVS). The implied volatility has been bid up nicely and the stock has been showing great relative strength over the last three trading days.

SELL -11 VERTICAL LVS 100 AUG 10 21/20 PUT @.22 LMT

This is a great risk/reward setup as the stock would need to move lower by 12+ percent before August expiration for the trade to begin losing money. Therefore, even if the markets continue to trade lower this trade still has a great chance of being profitable while helping to hedge your overall portfolio.

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