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Underline Stock: WMT
Entry date: Monday, February 25, 2013
Entry price: $47 per contract
Strategy applied: Selling March 67.50 put and 72.50 call (short
strangle)
Reasons to enter the trade:
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The stock: WMT is a relatively stable stock
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Technical: WMT has been trading in a 67.50 and
72.50 range since mid November of 2012
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The strategy: Selling short strangle is a
neutral strategy. The trade will be profitable if WMT stays in the
specified range. Since we are option seller, time is working for us as
the stock approaches option expiration day on March 16, 2013
Dennis Phan
潘家墉
25 February 2013
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