Remember the CNBC article from earlier this month that talked about two big options trades? One of the trades involved a calendar put spread per the article:
One trader made a bearish move on Tuesday by buying a calendar put spread. One big trader sold the Aug. 12-strike puts that expire next week, and bought the weekly 12-strike puts that expire on Aug. 23. The trader bought the spreads for 46 cents a piece, and appears to be expressing a nuanced opinion on the stock.
In short, the trader appears to believe that J.C. Penney shares will hold above $12 over the next 10 days, but then fall below that level in the week that follows.
My question: obviously this trader got the first part right and the second part wrong. Did the trader make any money on this trade or is it a complete bust because of the second leg?