Stock / Symbol: Newmont / NEM
Strategy: Diagonal Call Spread
Trade entry date / price: 08 Dec 2022 / $47.22
Price at this post: $51.05
Update / Reasoning: Price target hit, going to take profits. Also, the position's delta has gone from 21.6 at entry to -6.5 = time to go.
Trade Exit Order:
STC 1 NEM 19Jan24 45 call
BTC 1 NEM 13Jan23 49 call
For a min net credit of $8.35 per contract (GTC order, limit order). The mid is currently at a credit of $8.45 and I was just filled at $8.40
Analysis:
Max Risk: $725
Max Reward: $200 or 27.5% with NEM at $49 on Jan 13th
Profit Range: NEM between $45.50 and $56 by Jan 13th
Estimated Commission (round trip): $2.60
Take Profits with NEM between $50 to $52
Realized Profit / Loss: $115 or 15.8% (pre commission)
