The tactical call credit spread on PayPal Holdings Inc, PYPL (opened July 29) reached its full potential.
The trade was structured around short-term post-earnings weakness, with the expectation that PYPL would stay below the $74 short strike through Friday’s expiration. That played out exactly as planned.
📉 Closing Price (Aug 1, 2025): $67.11
🎯 Target: Stay below $74
💰 Outcome: 100% of credit retained, no assignment.
Trade Recap
Structure: Call Credit Spread (74/78)
Opened: July 29, 2025
Expiration: August 1, 2025
Credit Received: $0.20
Contracts: 16
Max Profit: $320 ($287 after broker commissions)
The position remained safe throughout the week — price never challenged the short strike and continued to drift lower after earnings. A clean, low-stress setup.
📊 View in Trade Log
🔗 View in OptionStrat
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Disclaimer
All content is for informational purposes only and does not constitute financial advice.Any trades or strategies should be tested in a simulated environment before use.Trading involves risk, and all decisions are the sole responsibility of the reader.