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Friday, October 18, 2013

Russell 2000 ETF (IWM) Put Options

8/21/2013

sold (to open) 1 Oct. 2013 $98 put option at $1.71

Probability of success:  67%


10/18/2013 (exp. Friday)


IWM = $110.69 
Put option expired perfectly.

Net profit:  $160.22

Using margin (free line of credit), the ROI is 15% in 8 weeks.

Question:  Are you earning 15% in 8 weeks?


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