It may not be complicated for you, but I'm not so sure about @klattermusen since he said: So, I don't think what's good for the goose is good for the gander in this case. If @klattermusen tries to get too fancy with it he's likely to dig himself a deeper hole IMHO. And, obviously, I agree with you completely here: That's why my suggestion (specifically to @klattermusen) is don't touch it and LET IT RIDE. It might just make money at expiration and if it loses that's the price paid for a mistake. But, trying to patch it over now is probably throwing good money after bad.
Anyway, just want to cover all the bases. That's how I trade. And there is no range for exercise here, once the underlying goes below $11, the strike on the short put, the option will be auto-exercised unless the option trader sends specific instructions to the broker not to exercise so there is a good chance that the OP would get assigned. I hope @klattermusen sees that. But no worry hopefully the OP would profit from the up move starting in the week after as he anticipated.
IOf course he bought the lower put..It wasnt a 2 for one special,sell one put,get one for free.. Doesn't matter what anyone thinks,he sold a put vertical,he bought the lower strike.You are way too smart for your own good.. How do you know the lower leg,i.e protection is no good?? And what does Ex dividend have to do with when to "lift a leg" to go long?? Again,there's a reason he sold a put spread vs a naked put,and the Div was priced in,otherwise you would do conversions all day long. FWIW,you are suggesting two opposite strategies.. And I never ever suggested lifting a leg.I said if he's assigned,it's so big deal,he's in the synthetic call.Yes,I am assuming he knows come expiration,he has some decisions to make Know your audience,keep it simple.
I said what I needed to say. If @klattermusen has any questions, he's free to contact me and I am happy to help as I have done to many others. You are totally twisting my words around either because you didn't bother to read my posts thoroughly or twisting them around on purpose. I hope it's the former. If it is the former, I strongly suggest that you re-read my posts more carefully. I seriously thought you were going to come back with more meaningful insight on this and we were going to have a good discussion about this. Really disappointed about this. Anyway I am not going to answer to any of this. It's the weekend. I am stepping out.
no. Don’t argue with pigs. You both get dirty but the pig likes it. this thread devolved. Tao answered the question in the first 3 Posts, and then the pigs came.