Sold puts Strike price 230 expiring Feb 23I a

Discussion in 'Options' started by prc117f, Feb 8, 2018.

  1. prc117f


    willing to buy SPY at 230 a share I sold them for 1.46 a contract. I am willing to have stock put to my account at that price. If not, no big deal. Looks like volatility is back and about time. The markets were just going one way and not pricing much risk.

    I also went long the 275 strike price calls for Feb 14 I paid 17 cents a contract. We could have a melt up just like we had this melt down. So i am looking at a range between 230-275
  2. Which expiry did you chose for the puts? 16MAR? -- if so, guessing you entered before the pullback today. -- I no-longer do naked puts, but IMO, your trade seems "relatively" safe, if it is 16MAR or sooner.

    The calls seem very aggressive since you only have 6 days! -- however, we do have some "extra" volatility that can swing things around.
  3. prc117f


    No they expire Feb 23, 15 days from now. I sold them late in the day. Sold 10 contracts. yeah not much time left in the calls but you never know something comes up and SPY is trading 5 days from now at 280.

    if so then I close out and take my winnings, otherwise worst case loss 180 bucks.

    I am willing to take SPY within this 15 day period at 230 a share. I suspect we will probably see buying back into SPY and it ending back up around the 260s in the next few days.
  4. Interesting! 230K locked up for 23 days for under 1.5K ??? U have deep pockets! :) -- may be a good balance if you have a an abundance of cash un-deployed.

    Curious how you determined the 14FEB 275 Call strike? -- a wild gamble, or a process you have developed with some history? --- seems awful short term and far far OTM, but I have discovered that "I may not know everything", and would like to reduce my ignorance level where possible. -- PM me if you don't wish to use this forum.
  5. cole_


    yeah I would say with the vix at these highs its p much a guaranteed moneymaking bet

    even if you're directionally wrong the vix will crash big league

    Last edited: Feb 8, 2018