Opening (IRA): XLP June 18th 60C/January -80C LCD*
... for a 17.88 debit.
Comments: Re-upping here, buying the June 90 delta call and selling the January call that pays for all of the extrinsic in the long.
Metrics:
Buying Power Effect: 17.88
Max Profit: Short Call Strike (80) minus Long Call Strike (60) minus debit paid (17.88) or 2.12 ($212)
ROC at Max: 11.86%
50% Max: 1.06 ($106)
ROC at 50% Max: 5.93%
Will generally look to take profit at 50% max.
* -- Long Call Diagonal.
Comments: Re-upping here, buying the June 90 delta call and selling the January call that pays for all of the extrinsic in the long.
Metrics:
Buying Power Effect: 17.88
Max Profit: Short Call Strike (80) minus Long Call Strike (60) minus debit paid (17.88) or 2.12 ($212)
ROC at Max: 11.86%
50% Max: 1.06 ($106)
ROC at 50% Max: 5.93%
Will generally look to take profit at 50% max.
* -- Long Call Diagonal.
Aviso legal
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Aviso legal
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.