Stock / Symbol: [private_monthly]S&P 500 INDEX / SPX [/private_monthly]
Price at trade post: $1363.50
Option Strategy: bear call spread
Reasoning: This trade has a 91.80% probability of success. Additionally, we think that the market is fairly overbought here. The current bid on this spread is $0.30 so we may not get filled, but we're only willing do this trade if we get at least $0.40.
Max Risk: $1920
Max Reward: $80 or 4.17% by May 6th
Profit Range: $0 - $1390.40
Max Profit at: $1390 or lower
Trade Details:
[private_monthly]
STO -2 SPX MayWk1 1390 Calls
BTO 2 SPX MayWk1 1400 Calls
for a net credit of $0.40 per contract
Requirements:
Cost/Proceeds ($80.00)
Option Requirement $2,000.00
Total Requirements $1,920.00
Estimated Commission $12.95
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Chart:
[private_monthly]
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