OPENING: XOP JUNE 15TH 32 LONG/APRIL 20TH 35 SHORT CALL DIAGONAL

2018年3月7日

... for a 2.49/contract debit.

Metrics:

Max Profit: $51/contract* (20.5% ROC)
Max Loss: $249/contract**

Notes: As with any diagonal, there aren't many metrics to look at. If you just leave the setup alone, however, your max loss is $249/contract, and your max profit is $51/contract. Max profit is realized with a finish above the 35 strike at expiry; max loss, with a finish below 32 and no rolls of the short call to reduce cost basis.

Another way to look at the setup is that you're paying only 2.49 for a 3.00 spread ... .

* -- Assuming no short call rolls and a finish above the 35 strike.
** -- Assuming no short call rolls and a finish below the 32 strike.

2018年3月8日

交易進行

Managing aggressively: rolling the April 20th 35 strike down to the April 27th 34.5 for a realized gain and a credit of .31/contract; cost basis at 2.18

2018年3月22日

交易結束：目標達成

Pending order filled at .05 short of max profit for the existing spread -- a 2.45 credit; .27/contract profit (10.8% ROC). Had intended to roll the ITM short call for additional credit, but couldn't catch it in time.