Stock / Symbol: SPDR Dow Jones Industrial Average / DIA
Option Strategy: double diagonal;
Trade entry date / price: 4 Feb / $163.75;
Price at trade post: $165.20
Reasoning: With our short strikes expiring tomorrow, time to close out the trade for a slight gain. Current Greeks are: -0.47 delta, 1.6 theta, 7.6 vega.
Closing Trade Details:[private_monthly]
BTO 1 DIA Febwk4 169.5 call
BTO 1 DIA Febwk4 158 put
STO -1 DIA Feb16 168.5 call
STO -1 DIA Feb16 159 put
for a min net credit of $0.35 per contract (GTC order, limit order). The mid is currently at $0.39. I was filled at $0.38.
Max Risk: $128
Max Reward: $115 or 91% (at current volatility) at $159 by Feb 6th
Profit Range: $156.50 to $169.50 by Feb 19th
Suggested Upside stop: @ $168
Suggested Downside stop: @ $159
Realized Profit / Loss: $10 or 7.8% (pre-commission)
[/private_monthly]
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