... for a 1.30 ($130)/contract credit. I probably could have worked for a better fill by $5-$10, but wanted to get this last trade on before the close. Metrics: Probability of Profit: 86% Max Profit: $130/contract Max Loss: Undefined Buying Power Effect: $100/contract Break Even: 8.70 Notes: I'll look to take this off at 50% max. It's a trade, not an investment ... .
With all the warts this company has, I figured I'd take the money and run on this upmove. The original short put was filled for 1.37 credit, I covered it for a 1.12 debit, so made about .25 ($25) per contract (about 18.2% in a couple of days).
Credit goes to TurboTech for this particular idea, which passed under my radar ... . With an implied volatility rank of 89 and (yes, your eyes don't deceive you) an implied volatility of 259% , ACAD is ripe for premium selling. Here are the metrics for the setup: ACAD April 15th 11 short put Probability of Profit: 78% Max Profit: $111/contract Buying Power...