HOOD Short Call — Sep 18, 2026
Trade Setup
Current Stock Price
$94.91
Entry Price
$215.00
Target Price
$107.50
Stop Loss
$430.00
Expiration
Sep 18, 2026
Suggested Contracts
1
Strike Details
Sell 130C
Risk / Reward
Max Loss
$26000.00
Max Profit
$215.00
Analysis
HOOD (Robinhood Markets, Inc. - Class A Common Stock) presents a short call opportunity with very elevated implied volatility. IV Rank 84. IV 5529.0% trades 180.0pp above 30-day HV (5349.0%). This setup favors net premium sellers.
Sell the $130 call for $2.15 credit. Naked single-leg exposure; collect premium from time decay if HOOD stays below the strike. Underlying ~$94.23, 56 DTE. Max profit $215 per contract, max loss $26000, 0.8% return on risk, 84% POP. Breakeven at $132.15.
Management: take profit at ~50% of max profit ($108). Cut at 2x credit ($430 loss). If short strike is breached with > 14 DTE, consider rolling out for a credit. Close before expiration week to avoid gamma risk.
Setup Instructions
Underlying: HOOD @ ~$94.23 Expiration: Sep 18, 2026 (56 DTE) Net credit (entry): ~$215.00 per spread Legs:
- Sell HOOD Sep 18, 2026 $130 Call (delta 0.16, mid $2.15)
Use limit orders at the mid or slightly worse. Verify bid-ask spread (currently ~7.4% of mid) before sending.
Management Plan
Take profit at 50% of max profit ($108). Cut loss if position reaches 2x credit received ($430 loss). Roll if tested with > 14 DTE remaining.