Brian Stutland's Microsoft Corporation (MSFT) Trade

CNBC Options Action's Brian Stutland suggested on the show that investors should consider an options strategy in Microsoft Corporation MSFT ahead of earnings tomorrow. Specifically, Brian Stutland wants to buy the September 29 call in Microsoft Corporation (MSFT) for $0.25, and sell the September 25 put for $0.35. If MSFT trades between $25 and $29 until the expiration, he gets to keep the $0.10 premium. If it jumps above $29 he will participate on the upside with the call option that he bought. If MSFT drops below $25, he will have to get long at $25. Microsoft Corporation (MSFT) fell 1.74% today, and closed at $27.06.