Stock / Symbol: PowerShares QQQ / QQQ
Option Strategy: [private_monthly]Double Calendar[/private_monthly]
Trade entry date / price: May 7 / $107.01
Price at this adjustment: $110.18
Reasoning: On Friday, the options we sold against the position expired worthless, allowing us to capture the full premium we sold them for. With QQQ up over 110 today, we're up slightly overall on the trade. I'm going to lock in the profit on the long call by rolling it up to a higher strike. Waiting on a market pullback before selling another put. After this adjustment, the trade's Greeks will be: 17.4 Delta, -3.4 Theta, and 29.6 Vega.
Trade Adjustment Details:[private_monthly]
STC 1 QQQ Jul 110 call
BTO 1 QQQ Jul 112 call
for a min net credit of $1.00 per contract (day order, limit order). The mid is currently at $1.05. Try for the mid -.01. Ok to try again tomorrow if missed today.
[/private_monthly]
Max Risk: $212 (reduced from $325)
Max Reward: unlimited under 101 or over 114.6 by Jul 18th
Profit Range:$0 to $101 & $104.6+ by Jul 18th
Suggested Upside stop: @ $115
Suggested Downside stop: @ $101
Non-members, click here for access
