Stock / Symbol:Walmart / WMT
Option Strategy: [private_monthly]calendar call spread[/private_monthly]
Price at trade post: $60.16
Reasoning: With WMT looking like it'll stay in the 58 - 62 range for a while, we're going with a [private_monthly]60 strike calendar call spread. We'll look to exit the trade once we're up about 15%.[/private_monthly]
Trade Details:[private_monthly]
BTO 5 WMT Jun12 60 Calls
STO -5 WMT Apr12 60 Calls
for a net debit of $0.62 per contract (day order, limit order)
Requirements:
Cost/Proceeds $310.00
Option Requirement $0.00
Total Requirements $310.00
Estimated Commission $12.95
[/private_monthly]
Max Risk: $310
Max Reward: $300 or 97% by Apr 20
Profit Range: $58.40 to $61.50
Max Profit at: $60
Suggested upside stop: $62
Suggested downside stop: $58
[/private_monthly]
Non-members, click here
Speak Your Mind