Tag: vertical spread

The Summary of Closed Trades (#1 – #11)

Closing another 2 Options contracts before expiry:

Trade #10: NVDA– BEAR CALL SPREAD (Closed in one week instead of two after realizing >72% of the expected profit)

  • Trade Placed: June 12, 2025
  • Original Expiry: June 27, 2025
  • Number of Contact: 1
  • Leg 1 – Buy Call
    • Strike Price: $157.50
    • Premium Paid: $0.56 * 100 = $56 per contract
  • Leg 2 – Sell Call
    • Strike Price: $152.50
    • Premium Received: $1.24 * 100 = $124 per contract
  • Total Commission: $2.81
  • Net Premium Received: ($124– $56) – $2.81 = $65.19 (on expiry)

I closed it earlier by selling and buying back the BUY PUT and SELL PUT respectively

  • Closed Early: June 20, 2025
  • Leg 1 – Buy Call
    • Sell the call bought at $0.08 option price by receiving $8
  • Leg 2 – Sell Call
    • Buy back the sold call at $0.23 option price by paying $23
  • Total Commission: $2.81
  • Net Premium Paid: ($8 – $23) – $2.81 = -$17.81

Hence, instead of earning the full $36.16 on expiry, I took a small gain by paying back $22.84 to close the option contract. The net gain is $65.19 – $17.81= $47.38

Trade #11: LYFT– BEAR CALL SPREAD (Closed in one week instead of two after realizing >72% of the expected profit)

  • Trade Placed: May 29, 2025
  • Original Expiry: July 28, 2025
  • Number of Contact: 1
  • Leg 1 – Buy Call
    • Strike Price: $17
    • Premium Paid: $0.84 * 100 = $84 per contract
  • Leg 2 – Sell Call
    • Strike Price: $16
    • Premium Received: $1.28 * 100 = $128 per contract
  • Total Commission: $2.81
  • Net Premium Received: ($128– $84) – $2.81 = $41.19 (on expiry)

I closed it earlier by selling and buying back the BUY PUT and SELL PUT respectively

  • Closed Early: June 20, 2025
  • Leg 1 – Buy Call
    • Sell at $0.11 option price by receiving $11
  • Leg 2 – Sell Call
    • Buy at $0.26 option price by paying $26
  • Total Commission: $2.81
  • Net Premium Paid: ($11 – $26) – $2.81 = -$17.81

Hence, instead of earning the full $36.16 on expiry, I took a small gain by paying back $22.84 to close the option contract. The net gain is $41.19 – $17.81= $23.38

📊 Summary of Closed Trades (So Far – #1 – 11)

So far, I’ve completed 11 trades using a mix of basic options strategies. Here’s a quick summary of what I’ve tested:

✅ Strategies Used:

  • Sell Put – to collect premium with the intention to buy at a lower price
  • Bull Put Spread – a more defined-risk strategy for bullish-to-neutral market
  • Bear Call Spread – a more defined-risk strategy for bearish-to-neutral market

💰 Outcome (100% Win rate so far):

All trades closed with small but positive profits, which is encouraging. While the gains aren’t huge, that’s completely fine.

Summary of the 9 contract closed so far (in USD): The second last column indicates the percentage of my expected target.

Referring to the Staggered Expiry Dates mentioned in my earlier post [My New Options Routine: Targeting $100/Week with Weekly Expiries]. I buy contracts at different expiry to ensure there are weekly closures to generate some small income.

The table above shows the expected premium received (blue bar) on Staggered Expiry Dates vs the actual premium received (green bar). If the green bar shows lower return than the blue bar, it means one or more contracts for that expected expiry date had been closed earlier. If the contract is expired with profits, both the bars will show same profit return.

Note: Future expiry date shown in the chart means the contract has been closed as of now before its expiry.

The Summary of Closed Trades (#1 – #9)

Before diving into the full summary, let’s have the quick update on Trade #8 & #9.

Trade #8: MARA– BULL PUT SPREAD (Expired with some loss of profit due to a mistake made)

  • Strategy: Bull Put Spread
  • Trade Placed: May 15, 2025
  • Original Expiry: June 13, 2025
  • Number of Contact: 1
  • Leg 1 – Buy Put
    • Strike Price: $0.12
    • Premium Paid: $11 per contract
  • Leg 2 – Sell Put
    • Strike Price: $0.35
    • Premium Received: $13 per contract
  • Total Commission: $2.84
  • Net Premium Received: ($35 – $12) – $2.84 = $20.16 (on expiry)

    I accidentally closed one the buy leg by buying back, I then resold one leg to re-establish back the bull-put spread strategy and waited till expiry. The original expected premium has been reduced to $14.74 instead of the original $20.16

    Trade #9: LYFT– BEAR CALL SPREAD (Expired with full profit)

    • Strategy: Bear Put Spread
    • Trade Placed: May 29, 2025
    • Original Expiry: June 13, 2025
    • Number of Contact: 1
    • Leg 1 – Buy Call
      • Strike Price: $16.50
      • Premium Paid: $11 per contract
    • Leg 2 – Sell Call
      • Strike Price: $17.50
      • Premium Received: $27 per contract
    • Total Commission: $2.84
    • Net Premium Received: ($27– $11) – $2.84 = $13.19 (on expiry)

    📊 Summary of Closed Trades (So Far – #1 – 9)

    So far, I’ve completed 9 trades using a mix of basic options strategies. Here’s a quick summary of what I’ve tested:

    ✅ Strategies Used:

    • Sell Put – to collect premium with the intention to buy at a lower price
    • Bull Put Spread – a more defined-risk strategy for bullish-to-neutral market
    • Bear Call Spread – a more defined-risk strategy for bearish-to-neutral market

    💰 Outcome (100% Win rate so far):

    All trades closed with small but positive profits, which is encouraging. While the gains aren’t huge, that’s completely fine.

    Summary of the 9 contract closed so far (in USD): The second last column indicates the percentage of my expected target.

    Referring to the Staggered Expiry Dates mentioned in my earlier post [My New Options Routine: Targeting $100/Week with Weekly Expiries]. I buy contracts at different expiry to ensure there are weekly closures to generate some small income.

    The table above shows the expected premium received (blue bar) on Staggered Expiry Dates vs the actual premium received (green bar). If the green bar shows lower return than the blue bar, it means one or more contracts for that expected expiry date had been closed earlier. If the contract is expired with profits, both the bars will show same profit return.

    Note: one expiry date can have more than one contract.

    The Summary of Closed Trades (#1 – #7)

    Before diving into the full summary, let’s have the quick update on Trade #7.

    Trade #7: LRCX – BULL PUT SPREAD (Closed early in 5 days instead of 21 days after realizing more than 68% of the expected Profit)

    • Strategy: Bull Put Spread
    • Trade Placed: June 6, 2025
    • Original Expiry: July 3, 2025
    • Number of Contact: 1
    • Leg 1 – Buy Put
      • Strike Price: $74
      • Premium Paid: $35 per contract
    • Leg 2 – Sell Put
      • Strike Price: $79
      • Premium Received: $89 per contract
    • Total Commission: $3.25
    • Net Premium Received: ($89 – $35) – $2.84 = $51.16 (on expiry)

    I closed it earlier by selling and buying back the BUY PUT and SELL PUT respectively

    • Closed Early: June 11, 2025
    • Leg 1 – Buy Put
      • Sell at $0.16 option price by receiving $16
    • Leg 2 – Sell Put
      • Buy at $0.35 option price by paying $35
    • Total Commission: $2.84
    • Net Premium Paid: ($16 – $35) – $2.85 = -$21.84

    Hence, instead of earning the full $36.16 on expiry, I took a small gain by paying back $22.84 to close the option contract. The net gain is $51.16 – $21.84= $29.32

    📊 Summary of Closed Trades (So Far – #1 – 7)

    So far, I’ve completed 7 trades using a mix of basic options strategies. Here’s a quick summary of what I’ve tested:

    ✅ Strategies Used:

    • Sell Put – to collect premium with the intention to buy at a lower price
    • Bull Put Spread – a more defined-risk strategy for bullish-to-neutral market

    💰 Outcome:

    All trades closed with small but positive profits, which is encouraging. While the gains aren’t huge, that’s completely fine — I treat this as a learning and experimentation phase, not a race to big profits.

    The goal is to understand how different strategies behave, how the market responds, and how to manage risk — before scaling up.

    Summary of the 7 contract closed so far (in USD):
    The second last column indicates the percentage of my expected target. (Note: If I am very confident that the price will stay below my strike till expiry, i will wait till its expiry. And for some, I will just close as long as some profit is made)

    I

    The Summary of Closed Trades (#1 – #6)

    Before diving into the full summary, let’s have the quick update on Trade #5 and #6.

    Trade #5: SOFI – BULL PUT SPREAD (Closed Early for Small Profit)

    • Strategy: Bull Put Spread
    • Trade Placed: May 20, 2025
    • Original Expiry: June 20, 2025
    • Number of Contact: 2
    • Leg 1 – Buy Put
      • Strike Price: $10
      • Premium Paid: $8 per contract
    • Leg 2 – Sell Put
      • Strike Price: $11.5
      • Premium Received: $20 per contract
    • Total Commission: $3.25
    • Net Premium Received: ($20 – $8) * 2 – $3.25 = $20.75 (on expiry)

    I closed it earlier by selling and buying back the BUY PUT and SELL PUT respectively

    • Closed Early: June 6, 2025
    • Leg 1 – Buy Put
      • Sell at $0.04 option price by receiving $4
    • Leg 2 – Sell Put
      • Buy at $0.25 option price by paying $5
    • Total Commission: $2.85
    • Net Premium Paid: ($4 – $5) x 2 – $2.85 = -$4.85

    Hence, instead of earning the full $36.16 on expiry, I took a small gain by paying back $22.84 to close the option contract. The net gain is $20.75 – $4.85 = $15.90

    Trade #6: MARA– Bull Put Spread (Expired with Full Profit)

    • Strategy: Bull Put Spread
    • Stock Price (at entry): ~$16.70
    • Trade Date: May 12, 2025
    • Expiry Date: June 6, 2025
    • Leg 1 – Sell Put
      • Strike Price: $13.50
      • Premium Received: $48.00
    • Leg 2 – Buy Put
      • Strike Price: $14.50
      • Premium Paid: $29.00
    • Net Premium Collected: $19.00
    • Total Commission: $2.84
    • Net Profit After Commission: $16.16

    The stock stayed above the strike price through expiry, and I kept the full premium.

    📊 Summary of Closed Trades (So Far – #1 – 6)

    So far, I’ve completed 6 trades using a mix of basic options strategies. Here’s a quick summary of what I’ve tested:

    ✅ Strategies Used:

    • Sell Put – to collect premium with the intention to buy at a lower price
    • Bull Put Spread – a more defined-risk strategy for bullish-to-neutral market

    💰 Outcome:

    All trades closed with small but positive profits, which is encouraging. While the gains aren’t huge, that’s completely fine — I treat this as a learning and experimentation phase, not a race to big profits.

    The goal is to understand how different strategies behave, how the market responds, and how to manage risk — before scaling up.

    Summary of the 6 contract closed so far (in USD):
    The second last column indicates the percentage of my expected target. (Note: If I am very confident that the price will stay below my strike till expiry, i will wait till its expiry. And for some, I will just close as long as some profit is made)