This post is restricted to paying members. To follow are specific new trade details:
Stock / Symbol: Duolingo / DUOL
Strategy: Bear Put Spread
Trade post date: 22 Jun 2023 / $141.98
Price at this post: $140.30
Update / Reasoning: Yesterday's and today's trading activity is indicating to me that the stock is attempting to form support here at the 136 - 137 level. That and the fact that I've watched my 10% profit on this trade completely evaporate this morning, I'm getting out now for a modest gain. The net position Greeks on this DUOL Bear Put spread are currently: -12.7 Delta, 0.2 Gamma, -0.4 Theta, and 1.8 Vega.
Trade Exit Order:
STC 1 DUOL 18Aug23 140 put
BTC 1 DUOL 18Aug23 130 put
For a min net credit of $4.20 per contract (GTC order, limit order). The mid is currently at a credit of $4.25. I was just filled at $4.20
Analysis:
My Max Risk: $405
My Max Reward: $595 or 147% with DUOL at/under $130 on Aug 18th
Profit Range: DUOL below $135.75 at market close on Aug 18th
Estimated Commission (round trip): $2.60
Stop at ($100) loss
Realized Profit / Loss: $15 or 3.7% (pre commission) in 5 calendar days
Annualized Return: 270%
