Unprofitable: I lose money on this trade if AA closes above $8.57 or July 13, 2012. The most I can lose on this trade is the amount I sold the Spread for $.57.
Risk: $43 per 1 lot
Reward: $57 per 1 lot
Chart: Bearish overall , but looking for a good risk vs reward that it tests back lower
Notes: I am playing this as an even money bet that AA will sell-off next week on earnings.
UPDATE 7.9.2012 This Spread is worth $.60, but I am leaving this trade on until earnings today after the bell.
UPDATE 7.21.2012 I covered this Spread at $.26 on the sell-off to my measured move target of $8.20. Taking profits and moving on is how I roll.
Read more about futures by www.keeneonthemarket.com