Stock / Symbol: SPDR S&P 500 / SPY
Option Strategy: bear call spread
Trade entry date / price: 29 Aug 2019 / $291.32
Price at this post: $299.80
Reasoning: Got assigned on our short 296 strike calls. Going to just close out the trade here and look to enter into a fresh bear call spread on SPY.
Current position:
Short 200 shares SPY at $296/share
Long 2 SPY 20Sep19 298 calls
Closing Trade Details:
BTC 200 shares SPY|
at the market.
then
STC 2 SPY 20Sep19 298 calls
at the market .
I bought back the short SPY shares at $299.80 / share and sold the long 298 calls at a credit of $1.87 per contract. As the long 20Sep19 298 calls are expiring today, this position must be closed out today.
Analysis:
Adjust Max Risk: $375
Max Reward: $25 or 6.7% by Sep 20th with SPY at/under $296
Profit Range: SPY at/under $295.75 by Sep 20th
Realized Profit / Loss: ($366) before commissions
Trade Costs: $36
