Closing Trade – diagonal put spread

Stock Symbol: FCX
Option Strategy: diagonal put spread

Max Profit: $332
Max Risk: $405
Max Return: 82%
Profit Range: $0 - $96.33
Max Profit at: $90

Reasoning: Well, the beauty of a diagonal spread is that when a trade goes against you, it's not so bad. FCX reported great earnings, and raised their dividend, so it looks like FCX is poised to move higher, not lower. We'll take a $100 loss here and move on to the next opportunity.

Trade Details:

STC 1 FCX Dec 95 Put
BTC 1 FCX Nov 90 Put
For a net credit of $3.20

Estimated Commission $12.95
Estimated Order Total $307.05



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