LOL! I was wondering the exact same thing -t he market did a 180 retreat into bear territory. Ahem, Coach, dump the hedge and let the bulls run please...
TS
SPX Credit Spread Trader
- Thread starter El OchoCinco
- Start date
LOL! I was wondering the exact same thing -t he market did a 180 retreat into bear territory. Ahem, Coach, dump the hedge and let the bulls run please...
TS
Looking around to find my next DEC IC position since I only get in on the next week after current period's SET. Unfortunately VIX is way way down and looks like its going lower. It may be time to start trading options on the VIX itself since premium just sucks at a time I think we are going to see significant real volatility and arm wrestling between the bears and bulls. But I am betting bulls still have a ways to run well into 2007...
TS
TS
I'm trying to get filled on the DEC 1460/1470 SPX call spread. Is anyone taking any vertical positions for Dec? I'm trying to get .45 for it on a whim.
Looks like the credit spreads have been taking a pretty good beating here on the thread, so much so that I don't see many credit spread posts any longer.
Lots of good info though! Coach, what positions do you have on that us retailer's can participate in?
Burr.
Looks like the credit spreads have been taking a pretty good beating here on the thread, so much so that I don't see many credit spread posts any longer.
Lots of good info though! Coach, what positions do you have on that us retailer's can participate in?
Burr.
Yes, we get it. You are uncomfortable doing this... Yes others are uncomfortable doing this... Yes, it's not a rocket science strategy...
You have all beat it into our head what a bad strategy this is, and how uncomfortable we should be... thank you.
Now for us idiots who continue to trade like this, even with your stern warnings, is anyone doing any trades for December using call or put credit spreads?
Coach, can we please setup a thread where we can get slapped like little kids when we feel like it, and come to this thread for information in it's title?
You have all beat it into our head what a bad strategy this is, and how uncomfortable we should be... thank you.
Now for us idiots who continue to trade like this, even with your stern warnings, is anyone doing any trades for December using call or put credit spreads?
Coach, can we please setup a thread where we can get slapped like little kids when we feel like it, and come to this thread for information in it's title?
If I can get a 45 or higher spread at a combined net credit for both sides of the IC of at least 1.10 then I may play a moderate position in Dec. But I will probably bias it with significantly more written spreads on the PUT side.
With SPX just now closing at close to 1400 this means I may trade a Dec IC position in the +/- 1450/1350 range if I can get reasonable premium. If not I may just play the put side credit spread. In the interim and off topic, I am making a windfall going long in the Canadian Trust bust that happened around halloween when the Canadian Gov wiped out the trusts with a change in tax policy. We started a thread in another forum. But yields are as high as 20% for some of these and I just made 26% today on a position in Enterra Energy (ENT). I expect buy outs, take overs, stock repurchaseing and declining interest rate demand to pump up all these prices over the next few months.
TS
Hi Ben,
I did enjoy the "good ol days" when we discussed the strikes, the fills and the adjustments of our credit spreads. I had my head handed to me in Oct and then most of my scalp removed in Nov but it had nothing to do with selling 5 or 10 delta spreads. Simply I made a "bet "in Aug that Oct would be weak, sold a spread much farther out than I would have otherwise, sold a wider spread than I normally would... then in October rather than just close it rolled it out to November I vainly tried to "rescue" it by selling more close to the money spreads....ugh
I'm actually ready to go back to the good old days of WTFOTM spreads where I was 100 to 125pts between wings. Love the cheap gamma and tiny delta's
Having said all of that realistically in a strongly trending market (whether its up or down) OTM credit spreads aren't the "best" strategy however who is to say this market is going to continue this strong uptrend ? No one knows so if people are thinking the next month might be more accomodating to IC's or Credit spreads...why not? I will be selling more put spreads this month than call spreads but I'm looking at around 1440+ for calls. Perhaps the vols will rise tomorrow or next week to make them more attractive.
I have been honing my skills in trying to trade unbalanced flys and leg into condors closer to the money in addition to selling OTM spreads but so far have only been able to do it on the put side. I also will be doing another put calendar and will be diagonalizing my current spx Nov/Mar 1350 p calendar for Dec.
My vote is to talk about our own trades, what we are doing and why.
I did enjoy the "good ol days" when we discussed the strikes, the fills and the adjustments of our credit spreads. I had my head handed to me in Oct and then most of my scalp removed in Nov but it had nothing to do with selling 5 or 10 delta spreads. Simply I made a "bet "in Aug that Oct would be weak, sold a spread much farther out than I would have otherwise, sold a wider spread than I normally would... then in October rather than just close it rolled it out to November I vainly tried to "rescue" it by selling more close to the money spreads....ugh
I'm actually ready to go back to the good old days of WTFOTM spreads where I was 100 to 125pts between wings. Love the cheap gamma and tiny delta's
Having said all of that realistically in a strongly trending market (whether its up or down) OTM credit spreads aren't the "best" strategy however who is to say this market is going to continue this strong uptrend ? No one knows so if people are thinking the next month might be more accomodating to IC's or Credit spreads...why not? I will be selling more put spreads this month than call spreads but I'm looking at around 1440+ for calls. Perhaps the vols will rise tomorrow or next week to make them more attractive.
I have been honing my skills in trying to trade unbalanced flys and leg into condors closer to the money in addition to selling OTM spreads but so far have only been able to do it on the put side. I also will be doing another put calendar and will be diagonalizing my current spx Nov/Mar 1350 p calendar for Dec.
My vote is to talk about our own trades, what we are doing and why.
No luck in getting any fills. I want to be at 1300 or so on the put side and I would only feel comfortable above 1460 but no premium in either strike for DEC....