NVDA Short Put — Dec 18, 2026
Trade Setup
Current Stock Price
$178.67
Entry Price
$322.50
Target Price
$161.25
Stop Loss
$645.00
Expiration
Dec 18, 2026
Suggested Contracts
1
Strike Details
Sell 148P
Risk / Reward
Max Loss
$14477.50
Max Profit
$322.50
Analysis
NVDA (NVIDIA Corporation - Common Stock) presents a short put opportunity with very elevated implied volatility. IV Rank 84. IV 6380.0% trades 1816.0pp above 30-day HV (4564.0%). This setup favors net premium sellers.
Sell the $148 put for $3.23 credit. Naked single-leg exposure; collect premium from time decay if NVDA stays above the strike. Underlying ~$176.18, 39 DTE. Max profit $323 per contract, max loss $14478, 2.2% return on risk, 84% POP. Breakeven at $144.78.
Management: take profit at ~50% of max profit ($161). Cut at 2x credit ($645 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: NVDA @ ~$176.18 Expiration: Dec 18, 2026 (39 DTE) Net credit (entry): ~$322.50 per spread Legs:
- Sell NVDA Dec 18, 2026 $148 Put (delta -0.16, mid $3.23)
Use limit orders at the mid or slightly worse. Verify bid-ask spread (currently ~1.6% of mid) before sending.
Management Plan
Take profit at 50% of max profit ($161). Cut loss if position reaches 2x credit received ($645 loss). Roll if tested with > 14 DTE remaining.