SPX Credit Spread Trader

Hope you all had a good SEP expiration even with the SET.

Of course I had $6k on the table and let my skirt take over and got talked out of it but hey, that is the way it goes.

I also did not get to open any SEP positions after AUG expiration and right now I am still empty on OCT. If we can just have a red day I can grab some 1230 or so strikes.
 
Quote from optioncoach:

Hope you all had a good SEP expiration even with the SET.

Of course I had $6k on the table and let my skirt take over and got talked out of it but hey, that is the way it goes.

I also did not get to open any SEP positions after AUG expiration and right now I am still empty on OCT. If we can just have a red day I can grab some 1230 or so strikes.
More...

Coach,

Do you think the market for SPX will still go up?
Would you like to take bear call spread 1370/1375? If not, why?
I just want to know your opinion.
Thanks.
 
Quote from tplast:

Well, I finally had to put in my hedge.
More...

Quote from optioncoach:


Interesting price action today. Market (ES) surged from 1329 to a high of 1336.75 and bled it all the way back to 1330. If it holds like this and moves lower throughout the day it should be quit interesting. Profit taking or short selling off of the highs....?
More...

It's incredible the way hedges reverse trends :D
 
Quote from tplast:

Well, I finally had to put in my hedge.

After the CPI index release this morning, I went long 3 ES DEC futures at 1333 againt my 18 OCT 1335/1350 bear call spreads.
More...

Still holding that hedge?
 
Quote from rallymode:

Still holding that hedge?
More...

Yes. I'm comfortable with no directional risk for now. And as long as the VIX is up, I'm laughing.

As we move down, I'll become delta negative again by removing the futures one by one and adding a little to the credit spreads.
 
I think previous highs will acts as some resistance. i do not think we have the steam to get to 1370 as of now but we still have another Fed meeting (though most predict what will happen already).

I think the 1370/1375 is as low as I would go right now for short strike and you might be able to get it for $0.40 with an aggressive limit price. That would be a good return.

The market always walks into new highs and sprints past new lows. Therefore if we make new highs it will wander a bit and probably not sprint to 1370 right away.

If you decide to do the position, set a mental fence at 1365 in order to decide whether to adjust depending on how much time is left to expiration. Only nervous thing is fed meeting next week where good news can push off a +15 up day and that 1370 does not look so far anymore.

I would err on the side of caution right now and watch or go another 20 points higher if there is any premium there.

Quote from virawan:

Coach,

Do you think the market for SPX will still go up?
Would you like to take bear call spread 1370/1375? If not, why?
I just want to know your opinion.
Thanks.
More...
 
Just got back from a long lunch meeting (mental note, don't do lunch meetings on expiration Friday ever again). Let me see, does anybody know what SET was :p? My diagonals played out nicely this month stopping just shy of my 1325 short. Quick back of the envelope numbers show my return on margin was 10.4%, would have done better (around 16%) to get out during the VIX spike last week, live and learn. Now I get to spend the weekend looking for new plays for October.
 
Have an order for SPX OCT 1380/1390 Call Spreads at $0.45. We will see if I get a fill since I am looking for some pullback throughout the week and on a fed meeting which provides as exepcted news.
 
Quote from ryank:

I haven't placed anything for Oct yet. Need to see where things shake out today with SET. There is the Fed meeting next week to think about too, although it doesn't appear that any changes are coming at this meeting.
More...

Here's another perspective: I've already opened all my Nov/Oct diagonals and am about halfway filled on my Dec/Novs.

Mark
 
Quote from optioncoach:

Have an order for SPX OCT 1380/1390 Call Spreads at $0.45. We will see if I get a fill since I am looking for some pullback throughout the week and on a fed meeting which provides as exepcted news.
More...

I've an day order in for 1370/1375C @ $0.55. No fill yet either. :mad:
 
You must log in or register to reply here.
Back
Top