SPX Credit Spread Trader

[Cache Landing]

Quote from Cache Landing:

wow, look at the short covering in the housing sector:eek:

Ah how the Fed loves to take the wind out of everyones' sails.

11:35 market sees bottom in housing sector and starts buying.

11:36 shorts get freaked and it is a covering frenzy.

11:56 suddenly find out about a non-voting Fed president that thinks rates should go up again in SEP.

12:45 market completely loses all gains caused by the short covering.

Do you think they just sit around and wait for the opportune moment?

 

[dagnyt]

Quote from Sailing:

FYI SPX Oct Credit Spread
Does anyone else struggle with this notion of waiting around for five weeks for possibly the other 5% and endure the risk associated with it?

M~

Sure. But, 5% is a lot to leave on the table. I routinely close positions when I am satisfied with the profit AND the risk feels too large for the remaining potential profit. I dont think that applies in this case, unless you are wildly bullish.

Mark

 

[Prevail]

what's that saying about unsolicited opinions? i'll have to look it up.

 

[tplast]

I closed my SEP/OCT 1255/1265 and SEP/OCT 1240/1250 ES diagonals today for +60% and +24%, respectively.

This leaves me with OCT 1335/1350 bear call spreads and SEP 1250/1250 bull put spreads. I'll be looking at closing the put spread for around .25 on any strength tomorrow or Monday.

My feeling is that we'll trade between 1290 and 1310 on the sep contract for a couple of days.

 

[El OchoCinco]

You heard the guy on CNBC this morning too

Yeah I see us staying between the recent highs of 1315 and MA support at 1295 and 1280 or so. I agree there is negativity coming into the market, I just feel it is more for OCT and end of September then this coming week.

My feeling is that we'll trade between 1290 and 1310 on the sep contract for a couple of days. [/B]

 

[IV_Trader]

http://money.excite.com/jsp/nw/nwdt_ge.jsp?news_id=pzn-104844&feed=pzn&date=2006 0907

Riskarb told me that they want to satisfy SPX spread's traders, maybe the spread will narrow then, IMO

 

[tplast]

Quote from optioncoach:

You heard the guy on CNBC this morning too

oh no ! then it will trade above 1310 or below 1290, but definetly won't stay in that range

 

[momoneythansens]

Quote from optioncoach:

...I doubt there are any sheep are blindly following my trades are keeping quiet when they disagree

On the contrary, I'm 100% sure there are sheep blindly following your trades LOL.

There's not much you can do about it though.

Good luck next week.

MoMoney.

 

[IV_Trader]

this thread will self destroyed in couple of days. Baron reserved only 4 digits to # of replies.

 

[momoneythansens]

Quote from IV_Trader:

this thread will self destroyed in couple of days. Baron reserved only 4 digits to # of replies.

I was more worried about the view count but after some investigation, it appears that it should support up to about 4 billion. Still, if anyone is going to test that limit first, it will be Phil's thread