Stock / Symbol: Vuzix / VUZI
Strategy: Diagonal Put Spread
Trade entry date / price: 2 Aug 2021 / $14.93
Trade exit date / price: 1 Oct 2021 / $10.32
Price at this post: $10.36
Update / Reasoning: With essentially zero extrinsic value left in the short 15 strike put, it's time to throw in the towel on this trade. In hindsight, I should have gone bearish on VUZI when it closed under its 17 day average back on Sep 8th. I'm exiting the trade here for a loss and will look for a new opportunity to trade VUZI.
Trade Exit Order:
BTC 1 VUZI 15Oct21 15 put
STC 1 VUZI 15Oct21 13 put
For a max net debit of $2.00 per contract (GTC order, limit order). The mid is currently at a debit of $2.00. I was just filled at a debit of $1.98.
Analysis:
Max Risk: $125
Max Reward: $75 or 60% with VUZI at/over $15 by Oct 15th
Profit Range: VUZI over $14.35 at market close on Oct 15th
Realized Profit / Loss: ($118) or - 94.4% (pre commission)
Commission (round trip): $5.20
