I dunno. It shows he collected $4100 for the short leg, but paid 7900 bux for long leg, according to him. How is this a winning trade?
he paid 38 for the calander..The leg he sold for 4100 bucks,he bought bsck for 5 bucks..His long option is trading at 70.30.. 70.30- 38= 32.3 in profit(minus the .05 to close the short option.So he made 32.25 or 3225 dollars on 38/3800 dollar calander..killer trade.....so far..hes currently naked long a jan 990 put trading at 70.30( 7030 dollars)
You are sort of correct. I made 4k on the short leg, but because stock went down the long leg didn’t loose any money and I am only down about $500 on it. So if I close the long leg, I would be profitable but the trade would be a 1:1 (risk $3500, made $3500, not worth it). But because I have lots of time left, I am hoping that more opportunities will come my way.
Not worth it??? When was the last time you made 32.25 on a calander If you had that trade on 500x,I think you would be singing a different tune!!
He's playing you Yes,he's down small on the long leg,but he made apx 4k on the short leg..He could have closed out,but is up to no good
Bleh, I'll revisit this thread on Jan 21st when his long leg expires, see the outcome. Sincerely confused, ON.