ANET 5/5/2017 Look Back Trade

I identified ANET as a good long term stock to purchase, still looks good as of this writing. On 5/5 with ANET at $138.66 I purchased a long term debit spread on this stock. I was not sure how long it would take to get the profit I wanted but I was willing to wait for it.

When I placed the position I went ahead and placed a GTC close order at my desired target and waited. In retrospect I should have held this one a little longer. I also would have made a lot more money if I had just purchased a Call but that would have cost me $1,800.00 instead of $1,050.00. Using a spread reduces your risk but also caps your profit.

As it was I ended up with a profit of $475.00 on a risk of $1,050.00 or 43.16%

Date

Sym

Exp

Strike

Price

C

Type

Cost

Balance

05/05/17

ANET

BTO

‘JAN18

$135.00

-$18.00

1

C

-$1,800.00

-$1,800.00

05/05/17

ANET

STO

JAN18

$160.00

$7.50

1

C

$750.00

-$1,050.00

06/09/17

ANET

STC

JAN18

$135.00

$30.38

1

C

$3,038.00

$1,988.00

06/09/17

ANET

BTC

JAN18

$160.00

-$15.13

1

C

-$1,513.00

$475.00

Profit:

$475.00

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