Yong-Long Lai

Looking at this trade more carefully, I clearly missed the double top warning signal. I will watch out for that next time!!

My Initial trade
The Trade (WPL) – Traded on 23rd July 2007
Sell Jul $45.5 Puts @ $0.31
Buy Jul $45.0 Puts @ $0.18

Expiry = 26/07/2007
Share/Contract = 1000

I closed this trade on 25th July 2007
Sell Jul $45.5 Puts @ $0.795
Buy Jul $45.0 Puts @ $0.445

All up this trade cost $0.22 – (20 x 1000 x 0.22) = $4,400
After brokerage: $4,863.60

I didn’t roll this trade out because the market is still a little unsteady at the moment.