Add training workflow, datasets, and runbook

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Chapter 25: LEAPS
FIGURE 25-7.
Bull spread comparison at April expiration.
Stock Price
405
The diagonal spread is different, however. Typically, the maximum profit poten­
tial of a bull spread is the difference in the strikes less the initial debit paid. For this
diagonal spread, that would be $1,000 minus $2,050, a loss! Obviously, this simple
formula is not applicable to diagonal spreads, because the purchased option still has
time value premium when the written option expires. The profit graph shows that
indeed the diagonal spread is the most bullish of the three. It makes its best profit at
the strike of the written option - a standard procedure for any spread - and that prof­
it is greater than either of the other two spreads at April expiration ( under the sig-
TABLE 25-4.
Bull spread comparison at April expiration.
Stock Price Short-Term Diagonal LEAPS
80 -500 -1, 100 -200
90 -500 - 600 -150
100 -500 50 - 25
110 500 750 50
120 500 550 150
140 500 150 250
160 500 50 350
180 500 - 350 450