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June 07, 2005
Closing TXU Corp (TXU) Bull Put Credit Spread
My option trading has been light as of late; there's only one position for June expiration - the bull put credit spread for TXU Corp (TXU). The stock moved up from $78 to $80 since I initated this trade; it's time to close the position as follows:
Open: Sell Jun $75 Put @ $1.5, Buy Jun $70 Put @ $0.5
Close: Buy Jun $75 Put @ $0.15, Sell Jun $70 Put @ $0.05
P&L: This trade generated a profit of $90/spread. With maximum risk of $400/spread, this translates to a 22% return over 15 days.
Monitor my trades at http://www.galatime.com/portfolio.
Posted by galatime at June 7, 2005 12:21 PM