Stock / Symbol: SPDR Dow Jones Industrial Average / DIA
Option Strategy: [private_monthly]double calendar[/private_monthly];
Trade entry date / price: Oct 22nd / $171.76
Price a this adjustment: $177.20
Current Position:[private_monthly]
Long 1 DIA Dec15 168 put
Short 1 DIA Nov15 168 put
at an effective cost of $1.11 per contract[/private_monthly]
Reasoning: With DIA rebounding on Monday and seeming to carry thru higher, I'm adding a long call that expires this Friday. We'll close out this trade this coming Friday.
Trade Adjustment Details:[private_monthly]
BTO 1 DIA Nov15 177.5 call
for a max debit of $0.50 per contract (day order, limit order). The current mid is $0.45.
[/private_monthly]
Max Risk: $160 (Adjusted down from $385)
Max Reward: $205 or 128% (at current volatility) [private_monthly]at $168 by Nov 20th
Profit Range: $162.75 to $173.50 by Nov 20th
Suggested Upside stop: NA
Suggested Downside stop: @ $168
[/private_monthly]
Non-members, click here for access
