Stock / Symbol: Apple / AAPL
Strategy: Diagonal Put Spread
Trade entry date / price: 23 Aug 2021 / $148.20
Price at this post: $143.20
Update / Reasoning: Today's big market wide pullback is presenting an opportunity to close out this position for just under a 10% return. The current net position Greeks are: -25.0 Delta, -1.4 Gamma, 7.5 Theta, and 39.9 Vega.
Trade Exit Orders:
First -
STC 1 AAPL 21Jan22 145 put
BTC 1 AAPL 24Sep21 145 put
For a min net credit of $6.95 per contract (day order, limit order). The mid is currently at a credit of $7.00. I was just filled at $7.05
Then -
STC 1 AAPL 8Oct21 141 put
At the bid. The bid is currently at a credit of $2.66. I was just filled at $2.66
Analysis:
Max Risk: $1050
Max Reward: unlimited with AAPL below $146.50 by Sep 24th
Profit Range: AAPL trading below $146.50 on Sep 24th
Estimated Commission (round trip): $13.60
Approx Realized Profit / Loss: $100 or 9.5% (pre commission)
