SPX Credit Spread Trader
- Thread starter El OchoCinco
- Start date
True, call diagonals are a little different than the puts as volatility works against you when the market pops like it has today. I decided against making an adjustment to my trade, I just got out (a sure sign that the market will drop 10+ points tomorrow).
The SPX was only about 5 points from my short and I was able to close out for a whopping $60 loss. On 2 of my trades I got fills that were .05/.10 better than the mid fairly quickly, ToS helped me out there I'm sure
.Quote from ryank:
True, call diagonals are a little different than the puts as volatility works against you when the market pops like it has today. I decided against making an adjustment to my trade, I just got out (a sure sign that the market will drop 10+ points tomorrow).
The SPX was only about 5 points from my short and I was able to close out for a whopping $60 loss. On 2 of my trades I got fills that were .05/.10 better than the mid fairly quickly, ToS helped me out there I'm sure
Since you have closed today, I will keep my call diagonal and will benefit from a drop of 10 points tomorrow with vol increase.
Keeping a close eye on my rut call vertical as I can close now at breakeven, but it is still 25 points from my short strike.
What happened to all the bears on this thread?
Not sure if there are bears here, just not expecting the magnitude of the climb in such a short period of time.
Actually i think I do nto mind the climb since I can keep selling OTm Cross-Flys into the rally and raise the right side of my risk-profile....
Quote from ryank:
I've still got a put diagonal. I hear some bearlike growls off in the distance, I just hope they show up soon, like the next few days.
I closed my put vertical and put diagonals for a small profit today.
0.85 for $20 margin for put vertical, around 4%
0.5 for $40 margin for put diagonal, around 1.25%.
My call diagonal profit evaporated not because of upward movement, but because of a drop in vol.