ERAS Profit Protection
RSI: 71 IV: 79%Current Price: $17.81 Updated: Apr 2, 2026 9:39 PM ET
Why Protect ERAS Now?
RSI above 70 historically signals mean reversion risk
Extended above moving average - potential pullback zone
Strong gains to protect - consider locking in profits
3 Protection Strategies
Zero-Cost Collar
Sell call to fund put - often $0 net cost
Sell $20 Call @ $1.50 to buy $12 Put @ $1.25 for $0.25 net credit.
| Action | Type | Strike | Premium |
|---|---|---|---|
| BUY | PUT | $12.50 | $1.25 |
| SELL | CALL | $20.00 | $1.50 |
Covered Call
Generate income - caps upside but cushions downside
Generate income by capping upside at $20.00
| Action | Type | Strike | Premium |
|---|---|---|---|
| SELL | CALL | $20.00 | $1.50 |
P&L Comparison (100 Shares)
See how each protection strategy performs compared to holding unhedged shares.
| Scenario | No Protection | Zero-Cost Collar | Covered Call |
|---|---|---|---|
| Stock -20% ($14) | $-356 | $-331 | $-206 |
| Unchanged ($18) | $0 | +$25 | +$150 |
| Stock +20% ($21) | +$356 | +$244 | +$369 |
P&L calculated at expiry. Actual results may vary based on time decay and IV changes.
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Use our Options Profit Calculator to model any protection strategy with your preferred strikes and expiry dates.