Stock / Symbol: Agruim / AGU
Price at trade entry: $91.93
Option Strategy: diagonal call spread
Max Risk: $760
Max Reward: $392 (at $95) or 51.58% by Feb 2011 expiration
Profit Range: $89.82 +
Realized Reward: $124.93 or 16.44% (before commissions)
Reasoning: AGU reports today after market close so we're going to take profits here. If you'd like to hang on for more profits, you can buy a Feb 90 put here for around $1.00
Trade Details:
STC 1 AGU Apr11 85 Call
BTC -1 AGU Feb11 95 Call
for a net credit of $8.85 per contract
Chart:
Non-members, click here for access
Speak Your Mind