Best Stock on the Market

Call Spread on FDX on 1/3/2014

Trading Channel on FDXFedEx Corporation (FDX) provides transportation, e-commerce, and business services in the United States and internationally.

It operates in four segments: FedEx Express, FedEx Ground, FedEx Freight, and FedEx Services. The FedEx Express segment offers various shipping services for the delivery of packages and freight. This segment also provides international trade services specializing in customs brokerage, and ocean and air freight forwarding services; customs clearance services, as well as global trade data, an information tool that allows customers to track and manage imports; and international trade advisory services, including assistance with the customs-trade partnership against terrorism program, as well as publishes customs duty and tax information in various customs areas.

In addition, it offers supply chain solutions, including critical inventory logistics, transportation management, and temperature-controlled transportation services. The FedEx Ground segment provides business and residential ground package delivery services; and engages in the consolidation and delivery of high volumes of low-weight and less time-sensitive business-to-consumer packages. It primarily serves customers in the small-package market in North America. The FedEx Freight segment offers less-than-truckload freight services, as well as freight-shipping services. 

Shares are heading higher in an upward trading channel.

52-Week Trading Range: $90.61 - $144.39

Last Trade: $141.00

Trade

  • Buy 1 January $140.00 Call at $2.80
  • Sell 1 January $145.00 Call at $0.80
  • For a net debit of $2.00

Profit/Loss Analysis

  • Breakeven at $142.00
  • Maximum profit is $300.00 at strike of $145.00
  • Maximum loss is ($200.00) at strike of $140.00

Closing Summary

  • Sold 1 January $140.00 Call at $2.90
  • Bought 1 January $145.00 Call at $0.26

Position closed on 1/14/2014 at price of $2.64 with a 32.00% gain in 11 days.

Updates

1/14/2014 3:55:10 PM

We are closing this position and taking profits off the table. Please adjust your stop-loss if you decide to stay long. 

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