7/17/2014 9:38:25 PM
Market Summary
As you can see in the Nasdaq 100 Index ($NDX) chart below, the index price crashed today. Today's selloff presents an opportunity to cash out of our July expiration $NDX bear call spread.
Exit Plan
The OPENING TRADE down below was setup and published in the June 27th Easy Money Options Income. A comment from the 'Exit Plan' in the article "If it is a week or so prior to the expiration date, we may be able to hold out for a .05 bid or decide to just let the contracts expire worthless."
Standard July options stop trading at tomorrow's closing. As displayed in the CLOSING TRADE below, we plan on letting all the options expire worthless and retain all the money received. However if the price moves back up towards the $3895 options, we will execute the closing trade to exit those options.
Approx. gain $1,150 (Excludes commissions and fees)
Projected gain is an approx. 23.00% return on the margin requirement
Regards,