Stock / Symbol: Nasdaq ETF / QQQ
Strategy: Calendar Put Spread
Trade entry date / price: 04 May 2021/ $330.79
Price at this post: $327.07
Update / Reasoning: I'm thinking there's a good chance that the QQQ's will hold at the 50 day moving average (about $325). So, I'm entering in an exit order now, which should fill with QQQ trading at around $326. If filled, this will give as a nice 20% return from just a few days in the position.
Trade Exit Order:
STC 1 QQQ 11Jun21 315 put
BTC 1 QQQ 10May21 315 put
For a min net credit of $5.35 per contract (GTC order, limit order). The mid is currently at a credit of $5.29. I have not yet been filled
Analysis:
Max Risk: $450
Max Reward: $450 or 100% with QQQ at $315 on May 10th
Profit Range: QQQ between $303 and $328 at market close on May 10th
Estimated Commission (round trip): $2.60
Upside stop @ $336
Anticipated Profit / Loss upon fill: $93 or 21% (pre commission)
