Friday, October 14, 2011

Bull Call Spread (17 Oct 11): EEM

Look for a bullish market where you anticipate a modest increase in the price of the stock above the price of the short Call option.
EEM  $39.59
Buy to Open (1) Nov 11 37 C @ $3.55
Sell to Open (1) Nov 11 42 C @ $0.69 
Net Debit: $2.86 ($286.00)
Breakeven: $39.86
Max. Profit: $214.00
Pct Return: 74.3% (35 days)

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