Review of Satndard and Poor sell list reveals several candidates for bear credit call spread. The most noticeable ones are utilities. Utilities have enjoyed a recent run up in the last few weeks. The whole sector is up significantly and trades at a premium compared to its historical average. I will execute the following stragey in the next few days with huge potential gain. I will sell ED August 19 75/80 credit bear call spread for a net of $ 2.1 per contract. will update the post regularly to track the performance.
Disclosure: I/we have no positions in any stocks mentioned, but may initiate a short position in ED over the next 72 hours.