SPX Credit Spread Trader

[rallymode]

Quote from andysmith:

I'm tempted to put on the call side today even though SPX is plunging... the credit is holding up though because VIX is high...

i dont care what the vix is, opening bear call spreads after a huge selloff is inviting trouble.

i will stop posting here if you do something so silly

 

[Cache Landing]

Quote from rallymode:

i dont care what the vix is, opening bear call spreads after a huge selloff is inviting trouble.

Totally agree.

 

[scienter]

I take it you have a MAY bull put spread somewhere close? did you leave it unheged?

I was debatingthe same thing for my May 1280 short....tried to put on a small SPY hege before close but MM's were not even giving a nickel....

Quote from cdowis:

While I think the bottom has been reached, one sobering thought == do I really want to leave an unhedged position over the weekend.

 

[scienter]

Actually correction...I did just get my hedge at close after market posting

 

[rdemyan]

Actually, I had an order in for June bull put 1225/1215, but cancelled it. Two sharp down days and it seemed like I was trying to "catch a falling knife". Better to wait.

Quote from ryank:

Not many people are talking about new put spreads today with the drop. I think we are all being pretty cautious with these 2 days of double digit declines.

 

[Aardvark]

Down 30pts in 2 days:eek: Hopefully its washed out and next week will be ho hum.....sold 2X puts at 1245 for 4.10 so now have a long put spread 1250/1245 for a credit. will look to open a credit spread in the 1225/1235 range next week. taking a nap now.

 

[piccon]

What are you doing with your May 1280/1270 PUT.?

It's worth $2 now. We may have some down days to go. My oscillators are not fully oversold yet. I am waiting for Monday, Tuesday to do something. I sold my SPY 129 PUT and bought some SPY 133 call as potential hedge for next week calls spreads if there is any bounce.

I already had the 1375/1385 @1.00 and is now worth nothing.

I expect a bounce Monday or Tuesday. We are getting seriously oversold shorterm

Quote from scienter:

Piccon,

I'm already in the MAY 1280/1270, perhaps a bit prematurely. What occilators do you use to time your entry? For the past few months I've I like the RSI 3 day for shorter-term entries and the slow line of 7-3-3 full stochastic in OB/OS conditions coupled with volume analysis for more major directional trades.

 

[rdemyan]

Pi:

Your strategy seems to have gotten less risky in that you are now proactively putting on hedges, whereas, I believe you didn't use hedges before. I like the way you're setting yourself up, ahead of time, for future bear call spreads by proactively buying SPY hedges when they are cheap. My approach has been more reactive in putting on the hedges, but I can certainly see the merit of being proactive.

Quote from piccon:

What are you doing with your May 1280/1270 PUT.?

It's worth $2 now. We may have some down days to go. My oscillators are not fully oversold yet. I am waiting for Monday, Tuesday to do something. I sold my SPY 129 PUT and bought some SPY 133 call as potential hedge for next week calls spreads if there is any bounce.

I already had the 1375/1385 @1.00 and is now worth nothing.

I expect a bounce Monday or Tuesday. We are getting seriously oversold shorterm

 

[El OchoCinco]

 

[rdemyan]

Well, even I have to say: Wow!

EDIT: Just a clarification for the new people. I'm not the biggest JA fan because I like more voluptuous women. It's not because I'm, well you know.....

Quote from optioncoach: