from my website: Trade 29 - A Monster Winner That trade involved buying a call (7300 debit 14.5) and paying for it by selling a put (7050-credit 15). You could have got over 110 for this if you'd been smarter than me at closing out. ROCE over 100% in a week? Great outcome. Trade 30 Taking the Other Side Let's say that the market looks toppy (it has since hitting 7000 in my estimation-feel free to ignore me) 7447 is the previous all time high,and FTSE is now 7436. Believing the market might drop, I like the following combo: Sell the June 7550 call(23) and BUY the 7150 put(22.5). A tiny credit of 0.5 What Does This Mean? A toppy market needs to be shorted, so you'd buy a cheap put with volatility at fire sale levels. That same thinking says sell a call. We are thus reinforcing the conviction in that trade. In addition as trade29 had such a phenomenal outcome and it was time to close out,consider the reason for closing out All or Nothing Our positions can be closed in entirety, or, in part when trading multiple contracts. Keeping a little part of trade29 alive would hedge trade 30. Caveat: I have no idea where the market is going, and I want to show trade repair when things go wrong. To date the fun trades here have had amazing outcomes. Genius? Nooooo. Chance? To a degree. Experience? Definitely-and you get it all for free here, with pleasure.
http://optionsinvesting.co.uk Not sure if I'm allowed to give the link-but yes VIX is criminally low,yes the scumbags have captured all thje dumb money in ETF long only funds-they will get their asses handed back to them-we won't!