Stock / Symbol: Advanced Micro Devices / AMD
Strategy: Broken Wing Butterfly Call Spread
Trade entry date / price: 30 Jun 2020 / $52.05
Price at this post: $54.90
Reasoning: With AMD having moved up nicely from our entry point, we're going to set our sell order to close the trade out early with a target profit of 43%. The position's current Greeks are: 9.7 Delta, 1.8 Theta and -0.9 Vega.
Trade Exit Details:
STC 1 AMD 17Jul20 50 call
BTC 2 AMD 17Jul20 52.5 calls
STC 1 AMD 17Jul20 53 call
For a min net credit of $1.72 per contract (GTC order, limit order). The mid is currently at a credit of $1.70. I have not yet been filled. It may take a few days to fill.
Analysis:
Max Risk: $120
Max Reward: $85 or 70% with AMD at/over $52 by Jul 17th
Profit Range: AMD over $51.25 by Jul 17th
Estimated Commission (round trip): $12
Downside Stop @ $51
Expected Profit / Loss upon fill: $52 or 43% (pre-commission)
