bought blackswan insurance.

Discussion in 'Trading' started by KINGOFSHORTS, Mar 16, 2012.

  1. 135 weekly puts for 8 cents a pop. Its been a great run but I want to make sure I don't get caught with my pants down next week.
     
  2. bc1

    bc1

    You don't think we can stretch this another week? I thought we might see some profit taking and a pullback at the end of this week but it didn't happen. Played hell with my 1400 short calls.
     
  3. Smart move. I don't recall seeing such persistent contraction in historical volatility coupled with a big drop in implied in a long time! At this rate, IV is going to 10 by next week, hehe.
     
  4. It's time to start loading up on fire-and-forget volty exposure. Just sit back and be patient, confident in the fact that markets ALWAYS find a way to explode themselves.

    It's just a matter of time...
     
  5. Daal

    Daal

    when do they expire?
     
  6. I wholeheartedly agree. I couldn't believe my eyes when I saw a print of mid 14's in implieds today. In the April's today at 2 SPX strikes away from where we closed this afternoon. Even though I'm expecting a test of 1415 in the next week or so, a gradual increase of implied vola will occur regardless of what direction the market takes from this point.
     
  7. A litlte early, the top is at the 143-145 SPY level.
     
  8. LEAPup

    LEAPup

    Hopefully not until May.
     
  9. Why do you say that?
     
  10. market going further up - its bull market if you have not noticed yet :cool:
     
    #10     Mar 17, 2012