TRADE IDEA: XLF FEBRUARY 21ST 30/32 LONG PUT VERTICAL
With the financials at a multi-year double top, a bet that financials announcing next week will disappoint in the aggregate in this easy/easing rate environment.
Metrics:
Max Profit: $96/contract
Max Loss: $104/contract (which is what you'd pay to put this on).
Break Even: 30.96 versus 30.69 spot
Notes: Max profit is realized on a finish below the short strike at 30; anything below the break even of 30.96 is a winner; and max loss is realized on a finish above the long at 32. A basic risk one to make one, which is what I like to see out of these directional shots.
Metrics:
Max Profit: $96/contract
Max Loss: $104/contract (which is what you'd pay to put this on).
Break Even: 30.96 versus 30.69 spot
Notes: Max profit is realized on a finish below the short strike at 30; anything below the break even of 30.96 is a winner; and max loss is realized on a finish above the long at 32. A basic risk one to make one, which is what I like to see out of these directional shots.