SPX Credit Spread Trader

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

  1. Bump :D

    NEW MAY PUT SPREADS ADD/VIX HEDGE:


    MAY POSITIONS

    -400 SPX MAY 1215/1225 Put Spreads @ $0.35

    Credit = $14,000
    Risk = $386,000
    Return = 3.62%

    Long 100 VIX MAY 20.00 Calls @ $0.20
    Cost = $2,000


    APRIL POSITIONS

    SPX CALL DIAGONAL SPREAD (OPEN):

    - 8 SPX APR 1340 Calls @ $4.70
    + 10 SPX MAY 1375 Calls @ $3.10

    Net Credit = $660

    Unrealized profit of about $1,000 for now but gonna let it run and make more off of it if I can.



    SPX BULL PUT SPREAD (CLOSED):

    - 350 SPX APR 1225/1235 Put Spreads @ $0.35

    Net Credit = $12,250

    Closed for net credit of $0.15 or $5,250



    PUT SPREAD PARTIAL HEDGE (OPEN- and the reaons we are bullish lol):

    + 100 SPY APR 126/125 Put Spreads @ $0.10

    Net Debit = $1,000


    Search Word = COCONUT
     
    #4921     Apr 7, 2006
  2. ChrisM

    ChrisM



    Coach, could refresh our memory: what was the margin ?
     
    #4922     Apr 7, 2006
  3. I belive OC is trading these in the prop account.
     
    #4923     Apr 7, 2006
  4. No these are still the retail account :D. Too difficult to post both and track :D

     
    #4924     Apr 7, 2006
  5. April put spread position is closed and APRIL/MAY diagonal call spread has $28,000 margin. MAY put spread is $386,000.

     
    #4925     Apr 7, 2006
  6. Well, thats a MM in the traditional sense which mostly covers individual stock market making and options. But when we are speaking of VIX options market making, i think traditional pricing goes out the window in my opinion.
     
    #4926     Apr 7, 2006
  7. rdemyan

    rdemyan

    Decided to jump in the water with Coach:

    1) Got filled on the following:

    SPX 1215/1225 bull put at $0.45

    2) Then got filled later for half as many contracts as earlier:

    SPX 1215/1225 bull put at $0.50

    3) Bought the May 20 VIX in a quantity of 1/3 of my total SPX bull put contracts for $0.20.


    On that second SPX fill, I was only asking for $0.45 (which was a nickel below the mid when the trade was placed) and got an extra nicklel :)

    BTW: I've noticed recently that I'm having a lot more success with ToS fills when I cancel and replace orders. One of the ToS guys gave me that tip. So if you enter an order and it sits there for awhile and you feel that you really should be filled, try canceling and replacing the order first before you give up a nickel or dime.
     
    #4927     Apr 7, 2006
  8. Your bear call for may is looking pretty good right now as well:) nice trade for May:D
     
    #4928     Apr 7, 2006
  9. Figures the market would reverse and drop shaprly AFTER I got my put fills at a puny $0.35 lol...
     
    #4929     Apr 7, 2006
  10. Bulls are putting up quite a fight at the 1297 level. I guess when all is said and done we have another good week of time decay.
     
    #4930     Apr 7, 2006