After closing Thursday at $95.76, Autoliv Inc (ALV) presents an attractive opportunity to get a 3.64% return in just 127 days, which is an annualized return of 10.47% (for comparison purposes only).
To enter this trade, sell one Jun. '14 $95.00 call for each 100 shares of ALV for a net debit of about $91.66. The net debit for this trade is also the break even point, which means this position has 4.28% downside protection.
ALV closed Thursday at $95.76 after trading between $94.38 and $96.18. Technical indicators are bullish with support near $93.64 and resistance around $97.24.