While the Diary of a Mad Hedge Fund Trader focuses on investment over a one week to six-month time frame, Mad Day Trader, provided by Bill Davis, will exploit money-making opportunities over a brief ten minute to three day window. It is ideally suited for day traders, but can also be used by long-term investors to improve market timing for entry and exit points.
and is trading at almost $87.
It will most likely follow through a bit, but they do report next
week and I do not want to be holding options over the
Based on that, I suggest you close the position.
Sell to Close May 20th – $85 call for $5.90
Buy to Close May 20th – $90 call for $3.30
Your credit will be $2.60.? Based on a debit of $1.90 when you
opened the position, your profit will be $.70 or about $350
on a 5 lot.
It works out to a 35% return on investment for a week.