earlier in the week I sold 1350/1375 then yesterday or daybefore and today sold 1330/1350 stomping over the 1350's so now I have 1330/1375 OCT call spread. The plan on this is not to hold to Oct but close given some time and downward action.
I like the way he uses the end of month and regular expiration options, gives you more choices. I will wait until ToS has options on futures to use that strategy. In the mean time I get to watch others experiment with them and follow along.
The time decay was probably already priced in when he bought the put but I'm a little surprised Cache you didn't first sell an OCT call spread and wait for a turn in the mkt to buy the put.
cache already has a sep bear call spread which might get in trouble over the next week or two. I am sure he is probably waiting to see how this one plays out before he opens up another one. Atleast thats what i am doing, though i agree this is a pretty good place to open OCT positions.