another 18k put bet for next Friday's SPY close

Discussion in 'Options' started by mikeenday, Nov 11, 2011.

  1. mikeenday

    mikeenday Guest

    if this one turns into dust/smoke/nil/nothing again,
    then I would switch to *regular* SPY/QQQ swing trade.

    position opened @1.57 a piece for SPY 126 put. NOV. 18
  2. bh_prop


    Do you like owning time decay or something?
  3. good luck .. :cool:
  4. Why not leg in over a couple of days, say 30% a day? That would mitigate your exposure to theta at least somewhat in the event nothing is going on early next week.
  5. That trade is death. We're going to test 130 soon.
  6. mikeenday

    mikeenday Guest

    I don't do partial position in options,
    that's the strategy for position trading.

  7. mikeenday

    mikeenday Guest

    it surely looks and feels like it can only go up.
    But it's right at the 3rd up wave, and lower high for consecutive 3 heads. plus low volume.

    The calculated risk here is 18k, 1/3 of what I earned Wednesday. No biggie.

  8. opening a position is the easiest. have you decided how you are going to maintain your position under different market scenarios?

    big sell off mon or tues - will you cash out? or buy a lower strike? or do nothing?

    market doesn't do too much and remains here or higher at expiration - will you buy another weeks waiting for a 400pt drop and spike in the vix?
  9. ammo


    wont know til it happens but run it down fatten the puts,run it up ,fatten the calls,revert to the mean,happens quite often at exp
  10. I agree
    #10     Nov 11, 2011