Add training workflow, datasets, and runbook
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OPTION TrAdINg STrATegIeS FIGURE 35.20b Profi t/loss Profi le: Bull Put Money Spread (long Put with lower Strike Price/
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Short Put with Higher Strike Price); Case 2—long Out-of-the-Money Put/Short At-the-Money
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Put with Comparison to Short At-the-Money Put
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Price of August gold futures at option expiration ($/oz)
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Profit/loss at expiration ($)
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1,000
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5,000
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2,500
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0
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−2,500
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−5,000
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−7 ,500
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−10,000
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−12,500
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−15,000
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1,050 1,100 1,150 1,200 1,250
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Bull put money spread
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Short at-the-money
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put
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Breakeven price on spread = $1,171.40
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Breakeven price on short put $1,161.30
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1,300 1,350 1,400
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−17 ,500
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Futures price at time
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of position initiation
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tabLe 35.21 profit/Loss Calculations: bear put Money Spread (Short put with Lower Strike price/Long
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put with higher Strike price)
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(1) (2) (3) (4) (5) (6) (7)
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Futures price
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at expiration
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($/oz)
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premium of
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august $1,150
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put ($/oz)
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$ amount
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of premium
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paid
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premium of
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august $1,100
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put ($/oz)
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$ amount
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of premium
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received
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Value of
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$1,150
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put
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Value of
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$1,100
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put
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profit/Loss on position
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[(5) − (3) + (6) − (7)]
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1,000 19.9 $1,990 10.1 $1,010 $15,000 $10,000 $4,020
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1,050 19.9 $1,990 10.1 $1,010 $10,000 $5,000 $4,020
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1,100 19.9 $1,990 10.1 $1,010 $5,000 $0 $4,020
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1,150 19.9 $1,990 10.1 $1,010 $0 $0 –$980
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1,200 19.9 $1,990 10.1 $1,010 $0 $0 –$980
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1,250 19.9 $1,990 10.1 $1,010 $0 $0 –$980
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1,300 19.9 $1,990 10.1 $1,010 $0 $0 –$980
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1,350 19.9 $1,990 10.1 $1,010 $0 $0 –$980
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1,400 19.9 $1,990 10.1 $1,010 $0 $0 –$980
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