On February 2, 2026, I published a detailed options analysis on NFLX (Netflix Inc.), outlining why the stock presented a high-probability LEAPS setup using our Alpha+ framework.
👉 Read the original analysis here: Netflix (NFLX) Stock Analysis: Deep-Dive Technicals, Fundamentals, Options Flow & an ITM LEAPS Strategy
At that time, I personally entered a LEAPS Call Option:
- Strike: $80
- Expiration: June 16, 2028
- Entry Price: $23.50
- Delta at Entry: ~0.68
- DTE at Entry: 863 days
Today, on March 2, 2026, that same LEAPS contract traded at:
- Exit Price: $33.70
I closed the position.
Let’s break down the numbers.
💰 The Profit Breakdown
Entry Price: $23.50
Exit Price: $33.70
Gain Per Contract: $10.20
Since each options contract controls 100 shares:
$10.20 × 100 = $1,020 PROFIT PER CONTRACT
That equals:
✅ 43.4% Return in 28 Days
If a reader followed with:
- 2 contracts → $2,040 profit
- 5 contracts → $5,100 profit
- 10 contracts → $10,200 profit
And remember — this was a long-dated LEAPS with over 800 days remaining.
That is convexity working exactly as designed.
📊 What We Saw on February 2
At the time of entry:
- RSI was recovering from oversold
- MACD showed bullish crossover on lower timeframe
- Price was basing after a prolonged pullback
- Institutional positioning showed heavy OI clustering
The key was this:
The stock had already priced in pessimism — but the long-term structure remained intact.
🧠 Why the $80 Strike Was Strategic
We selected the $80 strike because:
- Delta was ~0.68 (strong ITM positioning)
- OI was substantial (liquidity confirmed)
- Bid/ask spread was tight
- Vega exposure was meaningful with long DTE
This wasn’t a lottery ticket.
It was structured leverage.
🚀 What Happened Since Then?
NFLX made a powerful upside move:
- Breakout above resistance
- Momentum expansion
- RSI entering overbought territory
- MACD strongly positive
This type of momentum spike is exactly where LEAPS ITM calls accelerate in value.
Because of high delta (~0.68+), every $1 move in the stock added roughly $0.68+ to the option.
That’s the power of controlled leverage.
📈 Updated Options Chain
Now we see:
- $80 strike trading at $33.70
- Delta higher than entry
- Strong premium expansion
- Demand clustering above 80 strike
The contract repriced rapidly as intrinsic value increased and momentum traders piled in.
🎯 Why I Closed the Position
This is critical.
When you get:
- 40%+ return
- In under 30 days
- On a LEAPS contract
- With RSI > 80
- MACD extended
That is a tactical profit window.
Could it go higher? Possibly.
But discipline > hope.
Taking structured profits prevents giving gains back during inevitable pullbacks.
📊 Risk-Managed Execution Matters
This was not:
- Blind buying
- Chasing green candles
- Short-dated gamma gambling
It was:
- ITM LEAPS
- High delta
- High OI
- Long DTE
- Technical + structure alignment
This is how asymmetric setups are designed.
📌 Key Lessons From This Trade
- ITM LEAPS reduce decay stress.
- Delta drives fast profit capture.
- Long DTE allows flexibility.
- Exit discipline compounds capital.
- 30–50% gains on LEAPS should be respected.
🔥 Final Result Summary
| Metric | Value |
|---|---|
| Entry | $23.50 |
| Exit | $33.70 |
| Gain Per Contract | $1,020 |
| % Return | 43.4% |
| Time Held | 28 Days |
⚠️ Disclaimer
I currently hold no position in NFLX. This article is for informational and educational purposes only and does not constitute financial advice. Options trading involves significant risk, including the potential loss of 100% of capital invested. Past performance does not guarantee future results. Always conduct your own due diligence or consult a licensed financial professional before making investment decisions.
