Stock / Symbol: [private_monthly]Exelon / EXC[/private_monthly]
Option Strategy: double calendar call spread
Price at trade post: $43.34
Reasoning: This stock is trading in a very tight range, making it an idea candidate for a calendar spread. We're using 2 strikes to widen our profit range. Unless we get stopped out earlier, we'll be out of this trade on Sep 16th.
Max Risk: $580
Profit Range: $42.40 - $44.50
Max Reward: $180 or 31% @ 43 - 44 by Sep 2011
Suggested downside stop: $42.40
Suggested upside stop: $44.50
Trade Details:[private_monthly]
BTO 4 EXC Oct11 43 Calls
BTO 4 EXC Oct11 44 Calls
STO 4 EXC Sep11 43 Calls
STO 4 EXC Sep11 44 Calls
for a net debit of $1.45 per contract
[/private_monthly]
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