Stock / Symbol: United Airlines / UAL
Option Strategy: Diagonal Call Spread
Trade entry date / price: 04 Jun 2020 / $38.55
Trade exit date / price: 16 Nov 2020 / $41.32
Recap: We were filled on our exit order today at 7:14 am PST.
Closing Position Details:
Long 1 UAL 18 Jun21 35 call
Short 1 UAL 20 Nov20 41 call
In at an effective cost $9.33 per contract and out at a credit of $9.80 per contract. Those who entered the trade mid-way through got in at $7.40 per contract.
Analysis:
Adjusted Max Risk: $1,005
Max Reward: $130 or 13% with UAL trading at $41 on Nov 20th
Profit Range: UAL between $37.75 and $51.25 by Nov 20th
Commission (round trip): $9.10
Realized Profit / Loss: $47 or 4.7% (pre commission)
