... for a 1.04 credit.
Metrics:
Max Profit: $104
Max Loss/Buying Power Effect: $396
Return on Capital at Max Profit as a Function of Buying Power Effect: 26.3%
Return on Capital at 50% of Max Profit as a Function of Buying Power Effect: 13.1%
Break Even: 6.96
Comments: Went with farther out-of-the-money strikes than posted in my Trade Idea (See Post Below). Not that the 10 strike was "bad"; I just wanted more room to be wrong. Generally, will look to take profit at 50% max.
* -- Short Put Vertical.
Metrics:
Max Profit: $104
Max Loss/Buying Power Effect: $396
Return on Capital at Max Profit as a Function of Buying Power Effect: 26.3%
Return on Capital at 50% of Max Profit as a Function of Buying Power Effect: 13.1%
Break Even: 6.96
Comments: Went with farther out-of-the-money strikes than posted in my Trade Idea (See Post Below). Not that the 10 strike was "bad"; I just wanted more room to be wrong. Generally, will look to take profit at 50% max.
* -- Short Put Vertical.
