Stock / Symbol: International Business Machines / IBM
Strategy: Vertical Call Spread
Trade entry date / price: 17 May 2021 / $145.17
Price at this post: $143.96
Update / Reasoning: My stop hit at $144. I'm exiting the trade now to prevent further loss.
Trade Exit Order:
STC 1 IBM 21May21 140 call
BTC 1 IBM 21May21 145 call
For a min net credit of $3.45 per contract (day order, limit order). The mid is currently at a credit of $3.57. I was just filled at $3.55.
Analysis:
Max Risk: $395
Max Reward: $105 or 26% with IBM at/over $145 on May 21st
Profit Range: IBM at/over $144 at market close on May 21st
Estimated Commission (round trip): $2.60
Downside Stop at: $144
Realized Profit / Loss: ($40) or - 10% (pre commission)
