Stock / Symbol: YETI Holdings / YETI
Strategy: Bear Call Spread
Trade entry date / price: 14 Nov 2022 / $43.76
Trade exit date / price: 21 Nov 2022 / $40.50
Recap: My exit order on this trade filled yesterday at 10:32am PST, yielding a 12.3% return in a week. This trade worked well, thanks to both a 7.5% drop in the underlying and a 13.5% drop in Implied Volatility. The opening / ending position Greeks were: -15.8 to -11.0 Delta; -0.8 to -1.2 Gamma; 0.7 to 0.7 Theta, and -1.5 to -1.7 Vega.
Position Detalis:
Short 1 YETI 20Jan23 50 call
Long 1 YETI 20Jan23 55 call
Entered for net credit of $0.95 per contract on Nov 14th and exited for a net debit of $0.45 per contract on Nov 21st.
Trade Details:
Analysis:
My Max Risk: $405
My Max Reward: $95 or 23% with YETI under $50 on Jan 20th
Profit Range: YETI at / under $50.80 on Jan 20th
Commission (round trip): $2.60
Upside stop @ $50.80
Realized Profit / Loss: $50 or 12.3% (pre commissions)
