We have entered into a put butterfly in Silver (SLV). The precious metals have been on a nice run and we suspect the trend is a little exhausted in the short-term.
Buy to open: SLV July 18th (monthly) 29.00 strike put (ratio of 1)
Sell to open: SLV July 18th (monthly) 25.00 strike put (ratio of 2)
Buy to open: SLV July 18th (monthly) 21.00 strike put (ratio of 1)
Debit: 0.97
Max risk = 0.97 or $97.00 per spread
Max reward = 3.03 or $303.00 per spread