AAPL traded up to 133 yesterday and has pulled back since. That gives me the ability to roll the call side higher for a little less cost.
Here’s the roll:
Buy the AAPL Apr 130/140/150 call butterfly for 2.50 or lower.
By using the butterfly order, it basically closes out my 130/140 short call spread and opens up the 140/150 short call spread. This is known as a butterfly roll.
This will increase my theta, reduce my max delta, increase the total risk and capital in the trade, and increase my odds.
Breakevens are now 121 and 143. I want to be out of this trade in no more than 4 weeks– target profit is 15% return on max risk.