Todd Gordon's Tesla Trade

On CNBC's "Trading Nation," Todd Gordon of TradingAnalysis.com spoke about Tesla Inc TSLA. On Oct. 8, he bought the November $450/$500 call spread, which expires Friday. He wants to take profits and initiate another bullish options trade because he sees more upside ahead. Additionally, Gordon owns Tesla shares in his portfolio.

Gordon sees no resistance for Tesla until $700, so he wants to buy the January $550/$600 call spread for $13. The trade breaks even at $563 or 12.76% higher. Gordon would place a stop loss at 50% of the paid premium.