Defending Put Credit Spreads

parallax said:
Hi all, recently started selling vertical put spreads at .15-.25 Delta. It's been going well these last few months as the volatility's been flat and now it looks like i might need to defend my first position. So i wanted to get your feedback.

Here's the scenario
- 2 weeks ago, I sold the $SPY OCT 16 203/205 put spread for a $200 credit
- 10 Contracts on each leg
- Delta was around .14 and it's now around .24
- Max Loss= $1,800
- By 9/7/2016, i had collected about 35% of total premium
- $SPY saw a significant downturn on Friday, now i want to figure out how to defend this position if the downturn continues into next week
- I own 5 long put spreads 214/212 as a partial hedge expiring SEPT 16

So, my thinking is that if Deltas hit .35-.45, I roll down and out a week. It's my understanding that this doesn't add on any additional risk, it simply closes the old position and opens a new one with a longer time horizon and lower strikes. Am I wrong? Am i screwed up Monday gaps even lower beyond my short strike?

Any advice from more experienced premium sellers certainly welcome!
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First off learn to read charts, when you have done this, really study charts, support/resistance, trendline support/resistance, does not take a genius to figure out those who trade without knowledge will be coming here asking how to bail, before putting on any trade, you have to be able to answer any question that arises, otherwise you will lose money.

You let those who want to "chance" trades stay near exit of losing their money, you want to go on side of consistent trading not taking huge chances. You can't see all those highs clustered near same prices & made "Head & Shoulders" pattern? You can't see lower low pivots? Should have reversed into lite Debit Put spread or Call Credit spread or both.

upload_2016-9-12_10-46-22.png
 
Don;t trade spreads on SPY. Instead, sell a single ES put worth 4 points to collect the $200. That will save you lots of $ in commissions fees, ES trades all day, and it's further OTM . OR maybe sell SPX. Spreads tend to be a bad idea becase
 
Deuteronomy_24_7 said:
Are there any on this board? I've never seen an advocate of buying "iron condors" or similar commish-generators. Everyone seems to want to sell 'em.
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they decay pretty fast though. you would need a way to make it profitable after taking into account decay
 
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