Closing Trade – GT call spread

Stock / Symbol: GoodYear Tire / GT
Option Strategy: call spread

Action:
BTC -5 GT Jan11 11 Call
STC 5 GT Jan11 9 Call
for a net credit of $1.65

Reasoning: We may not get filled right away on this but we think the timing is right to close this one out. If filled at $1.65, we're looking at a 65% gain. If you like, you can hold out to January expiration and, if GT stays above $11, you'll get around $2 for a 100% gain.

Stock Price at Trade Entry: $10.05
Max Risk: $500
Realized Reward: $325 (if filled at $1.65)
Return: 65% (before commissions)

Chart:

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