Stock / Symbol: Virgin Galactic / SPCE
Strategy: Diagonal Call Spread
Trade entry date / price: 25 Aug 2022 / $6.32
Price at this post: $4.16
Update / Reasoning: With the position up by about 25% and with SPCE set to announce earnings tomorrow, Tuesday, I'm booking the win here. At the moment, the net position Greeks are: 164.7 Delta, 10.75 Gamma, -0.3 Theta, and 2.6 Vega.
Trade Exit Order:
STC 2 SPCE 17Jan25 3 calls
For a min net credit of $2.15 per contract (GTC order, limit order). The mid is currently at a credit of $2.18. I was just filled at $2.23
Analysis:
Adjusted Max Risk: $460
Adjusted Max Reward: unlimited with SPCE over $4.66 by Jan 17, 2025
Profit Range: SPCE over $3.15 by Jul 28th
Commission (round trip): $11.05
Realized Profit / Loss: $114 or 24.8% (pre commission)
