Stock / Symbol: Direxion Gold Miners Bull 3x / NUGT
Option Strategy: [private_monthly]calendar call spread[/private_monthly]
Price at trade post: $13.68
Reasoning: With precious metals and miners looking like they have some decent upside here, I'm putting on a [private_monthly]calendar call spread[/private_monthly] on NUGT. I'll be selling weekly options to generate income against the position. The greeks going into this trade are: 21.3 delta, 1.5 theta, and 2.2 vega.
Trade Details:[private_monthly]
BTO 1 NUGT Sep15 15 call
STO -1 NUGT MayWk5 15 call
for a max net debit of 2.30 per contract. The mid is currently at $2.20 (GTC order, limit order).
Requirements:
Cost/Proceeds: $225
Option Requirement: $0
Total Requirements: $225
Estimated Commission: $3
[/private_monthly]
Max Risk: $225
Max Reward: $90 or 40% at [private_monthly]$15[/private_monthly] by May 29th
Profit Range: between [private_monthly]$13.40 and $17.90[/private_monthly] by Jun 19th
Suggested Upside Stop: @ $16
Suggested Downside Stop: @$11.99
Non-members, click here for access
