Close the ICICI Bank Options for a Gain

May 22, 2014 - 12:03 pm

Six days ago we put on a synthetic long position on ICICI Bank (IBN) by buying the Sept $50 Calls for $3.80 and selling the Sept $50 Puts for $3.95.  This trade was meant to be short term and for a quick profit, and we're taking the money and closing these positions.  The Puts are being bought back for $2.90, and we sold the Calls for $4.30.  

The profit on the Puts is 26.6%, and profit on the Calls is 13.2%.  Total return just shy of 40%