Trading Strategy: Short Call Spread 82.5/85
- Direction: Bearish (Rejected at Up Trend Channel Resistance)
- STO SLB Sept 13 82.5 Call
- BTO SLB Sept 13 85 Call
- If the up trend channel resistance (about $85) is broken, close short leg if more than 1 month before expiry, to repair the trade (but need to analyse the potential risk of incurring more losses).
- Entry Price: $82.83
- Breakeven Price: $83.58
- Max Profit: $540
- Max Loss: $710
- Reward vs Risk: 0.76
- Probability Price Below Breakeven: 67%
Chart from thinkorswim, get FREE chart here.
Original post by Marubozu from My Stocks Investing Journey.