Capitulating On DECK

Sold DECK bull call spread for a loss.

DECK (Deckers Outdoor) was moving against the broad market and was out of the money for me.  I sold today.  On 9AUG2021 I bought, 8 bull call spreads of DECK at the 420/430 strikes and 17SEP2021 expiry for 5.65 a share.  I sold today for 2.45 a share. 

I booked a loss of 2,560 (56.6%) over 25 days. The sale raised 1,960 in cash.

My September was previously pacing for profits over 11,000.  CBOE was assigned early on the ex-div date moving 1,155 in profits to August.  I have four positions with 17SEP expiry left and they all in the money (TE Connectivity is threatened). 

Should current prices hold for another 15 days, I will book 5,441 in profit for the month of September.

How did you like this article? Let us know so we can better customize your reading experience.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.
Or Sign in with