SPX Credit Spread Trader

Discussion in 'Journals' started by El OchoCinco, May 17, 2005.

  1. Crucis

    Crucis

    As an experiment, I bought a 1315 straddle yesterday @ $6.20. I've noticed that SPX usually has a wide swing on the last trading day.

    So far the put side looks promising.

    Cru
     
    #10091     Sep 14, 2006
  2. ryank

    ryank

    I have the Sep 1325c/Oct 1350c diagonal. My breakeven at expiration is approx 1333. With the market currently at 1314 as I write this it looks like I will hold on and let SET fall where it may (I'm rooting for 1325 .:D). If we have a rally later in the day I may change my mind but only time will tell.
     
    #10092     Sep 14, 2006
  3. Not to skew the experiment but remember this is quad witching week so the SPX moves might be bigger than on the other expiration days so do not take this Thu and Fri's activity as the norm.
     
    #10093     Sep 14, 2006
  4. virawan

    virawan

    Coach,

    What did you mean by "quad witching week"?
     
    #10094     Sep 14, 2006
  5. Well better said Quad witching day, equity options, index options, futures and options on futures all expire at thee nd of this week. Potential for lots of market volatility.
     
    #10095     Sep 14, 2006
  6. Have an open order to get filled on OCT SPX 1225/1230 at $0.35 limit but no bites as of yet...
     
    #10096     Sep 14, 2006
  7. How many are you looking to unload? :cool:
     
    #10097     Sep 14, 2006
  8. Looking to sell about 500 - 600 contracts but I am being aggressive on the limit price so I doubt I will be filled unless we move back lower. I do not want to be above 1230 on the short strike given past support levels.

     
    #10098     Sep 14, 2006
  9. Would you sell futs into the exposure? IOW, would you hedge immediately? If so, what vehicle?
     
    #10099     Sep 14, 2006
  10. virawan

    virawan

    Coach,

    normally you are using 15 point interval, why now is 5?
    And then I saw the chains the bid ask is n/a 1.00, can we can filled on the n/a 1.00 bid ask?

    And then I try to open a 5 contracts order, but it seems so difficult, is it because to small contract?
     
    #10100     Sep 14, 2006