Selling Swing: creating a 215 220 225 cB by buying 225 cal
Posted: Tue Apr 22, 2014 1:19 pm
Selling Swing: creating a 215 220 225 cB by buying 225 calls at 1.25 area same contract amount as the 215 add from earlier, and double shorting the 220 calls at 2.60 area, this locks in 3.95 worth of premium, thats 6.58X oversized removed. That docent mean thats the full 6.5x profits, but we are taking a much more intraday bearish stance on with this 220 double short. We still hold the 210 puts exposed bearishly, so we would be ready to do a similar butterfly on puts if strength continued. We are also ready to exit 1/2 of the calls butterfly if strength is seen.
This trade is one part of a larger strategy so please look back at Previous posts to see the whole picture. AND IF YOU ARE NEW, PAPER TRADE FOR AT LEAST A FEW MONTHS because this is ADVANCED OPTIONS TRADING !!
This trade is one part of a larger strategy so please look back at Previous posts to see the whole picture. AND IF YOU ARE NEW, PAPER TRADE FOR AT LEAST A FEW MONTHS because this is ADVANCED OPTIONS TRADING !!