Freeport-McMoRan Copper & Gold Inc. (NYSE: FCX) shares are rising this morning, helped by rising copper and gold prices. Copper is higher by more than 2% today, while gold is up by about 1% on concerns about inflation in a lower interest rate environment. If you think that the company won't fall by too much in the coming months, then now could be a good time to look at a bullish hedged trade on FCX.

After hitting a one-year low of $52.51 in March, the stock hit a one-year high of $120.20 in October. FCX opened this morning at $100.26. So far today the stock has hit a low of $99.40 and a high of $102.82. As of 11:20, FCX is trading at $101.71, up $2.38 (2.4%). The chart for FCX looks neutral and improving, while S&P gives the stock a positive 4 STARS (out of 5) buy rating.

For a bullish hedged play on this stock, I would consider an April bull-put credit spread below the $75 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 6.4% return in just two months as long as FCX is above $75 at April expiration. Freport McMoran would have to fall by more than 27% before we would start to lose money.

FCX hasn't been below $75 since August and has shown support around $92 recently. This trade could be risky if the demand for copper falls due to futher economic weakening, but even if that happens, this position could be protected by the support the stock might find just below $80, where it bounced last month.

Brent Archer is an options analyst and writer at Investors Observer. At publication time, Brent neither owns nor controls positions in FCX.