Stock / Symbol: SPDR DOW Jones Industrial Avg ETF / DIA
Original Option Strategy: double calendar
Adjusted Strategy: diagonal put spread
Trade entry date / price: Sep 13 / $153.60
Price at this post: $150.70
Current Position:
Long 2 Nov13 148 puts
Short 2 OctWk1 150 puts
Reasoning: Currently at the profit sweet spot in the trade. Good to book the win here, just in case Washington DC miraculously comes up with an agreement.
Closing Trade Details
STC 2 DIA Nov13 148 puts
BTC -2 DIA OctWk1 150 puts
for a min net credit of $1.70 per contract (GTC order, limit order). I was just filled at $1.80. The mid is currently at $1.80
Max Risk: $500 to the downside / $150 to the upside (originally $510 at trade entry)
Max Reward: $280 or 56% (at current volatility level) at $150 by Oct 4
Profit Range: 148.50 to 153 by Oct 4
Suggested Upside stop: @ $153.60
Suggested Downside stop: @ $150
Realized Profit / Loss: $232 or 46.4%
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