59.60 (-0.33)

03/19/2010 – ThetaOptions IRA Portfolio – US Steel FEB/APR Calendar Closed – Profit $200

The IRA closed down the last portion of our original FEB/APR Diagonal today for $50 credit.  It turns out hat our move to lower the APR $60 strike to to $50 using a Calendar spread completely back fired on us as we painfully watch US Steel climb all the way back to $60 on APR OpEX.  We would have made another $300 had we NOT converted our original spread into a 50/50 Strike Calendar Spread .  However, we still manage to make a nice 40% profit on this trade. I still can’t believe the stock went from $65 to $43 back to $60 after their disappointing earnings call….we might need to place another bearish spread on them! Read the rest of this entry »