Options strategy: following Cramer on Google (GOOG)

CNBC's Jim Cramer loves tech for the second half of this year, and Google (NASDAQ: GOOG) really impresses him now. Cramer says YouTube's ad margins are incredible, and there may be another revenue explosion before the year's end.

If you agree with Cramer, then for a bullish hedged play on this stock, I would consider a September bull-put credit spread below the $460 range. A bull-put credit spread is an options position that combines the purchase and sale of put options to hedge risk in case the stock doesn't do what you think but still leverage nice returns. For this particular trade, we will make a 4.2% return in just 1 month as long as Google is above $460 at September expiration. Google would have to fall by more than 10% before we would start to lose money.

Google hasn't been below $460 for more than a day or two since March and has shown support around $481 recently. This trade could be risky if the stock breaks below its 200-day moving average which is currently $485, but the company doesn't report earnings until October after this position expires/ That should make this trade a little safer.

Brent Archer is an options analyst and writer at Investors Observer.