My BRK-B bull call spread had one strike in the money today near expiry.
music selection: “Hold Your Ground” — Cavo
I had the 177.5/180 bull call spread expiring today. I bought for 1.90 a share on 1JUN2020. With assignment threatened at close, I sell the spread for 1.6375 per share. Across four spreads I lose 105 dollars on 760 capital at risk. That is about 14% over 19 days in force for 265% annualized. I’ve been keeping spread positions small due to the volatility in the market and fortunately only lost 105 dollars.
Devour your prey raptors!
Close BRK-B spread for a loss
So you bought the spread when BRK.B closed at 183.84 (1jun) and sold when it was at 179.72 (19jun). I wonder, what was your target price? Thanks for the excellent blog!
Target price was anything over 180.00 which would have allowed for the maximum profit. Thanks for reading!