This post is restricted to paying members. To follow are specific new trade details:
Stock / Symbol: United Parcel Service / UPS
Option Strategy: Broken Wing Butterfly Call Spread
Trade entry date / price: 24 Apr 2020 / $99.555
Price at this post: $98.02
Reasoning: UPS has flopped on its earnings announcement, so we're going to close the trade here for a loss.
Trade Exit Details:
STC 1 UPS 1May20 103 call
BTC 2 UPS 1May20 107 calls
STC 1 UPS 1May20 109 call
For a min net credit of $0.20 per contract (GTC order, limit order). The mid is currently at $0.25.
Analysis:
Max Risk: $90
Max Reward: $200 or 222% with UPS trading at $107 on May 1st
Profit Range: UPS at/over $104 by May 1st
Estimated Commission (round trip): $15
Realized Profit / Loss: ($70) (pre-commission)
