[Opening Straddle on Morgan Stanley (MWD)/Simultaneously Buying Jul 60 Calls (MWDGL) and Jul 60 Puts (MWDSL)/Day Order/Limit $7.30]
Dear Member,
I am placing an order to open a Jul 60 straddle on Morgan Stanley (MWD). The implied volatility is currently in the 4th percentile which means the options are relatively cheap. MWD has gapped up through a little resistance today. A sharp move in either direction and/or a good move in volatility could make this a decent trade. As with all straddles, if no adjustments are made, the risk is limited to the amount invested and the profit potential is theoretically unlimited.
I am placing my order to buy the Jul 60 calls (MWDGL) and the Jul 60 puts (MWDSL) for a limit of $7.30. My order is a day order.
Sincerely,
Bill Kraft for
CutLoss, Inc.
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