Monday, August 13, 2012

Rolled $SPY Bear Call Spreads Up And Out To September

9/13/12
Looks like Big Ben threw another wrench in the works today.  Markets up over 1% on the news of more QE (aka - crack) being injected into the system.  Had to roll these out to October.  Added more lots but tightened the spreads from 3- to 2-wide, thus lowering the total at risk.

Trade:
BTC SPY Sept 12 143/146 bear call spreads for ($2.70-$0.70) x 100 x 10 spreads = $2000 debit
BTC SPY Sept 12 135/132 bull put spreads for ($0.07-$0.03) x 100 x 10 spreads = $40 debit
Sold SPY Oct 12 145/147 bear call spreads for ($2.26-$1.28) x 100 x 14 spreads = $1372 credit
Sold SPY Oct 12 143/141 bull put spreads for ($1.75-$1.24) x 100 x 14 spreads = $714 credit

Net credit of $46


8/23/12
With the consolidation in the market the past few days, I rolled the call spreads up a strike to 143/146 for $0.29 debit.  I offset this cost by selling 135/132 put spreads to form an iron condor.  Could have gotten more aggressive with the placement of the short put strike but I wanted to lessen the chance that the market would turn down and the put spreads would end up being under pressure.

Right now there's an 88% chance of the put spreads expiring worthless.  Net credit on the trade of $0.02 per lot.

Trade:
BTC SPY Sept 12 142/145 bear call spreads for ($1.58-$0.48) x 100 x 10 spreads = $1100 paid vs $990 received = $110 loss
Sold SPY Sept 12 143/146 bear call spreads for ($1.12-$0.31) x 100 x 10 spreads = $810 premium received
Sold SPY Sept 12 135/132 bull put spreads for ($0.76-$0.45) x 100 x 10 spreads = $310 premium received


8/13/12
Rolled the call side of these iron condors out and up to September.  Note that I'm using less margin on this trade as well.  Also not selling the put side yet as I believe we are at a short to intermediate-term top.  Keeping the short strike above the resistance at 141 and the highs of the year.

Trade:
Sold SPY Sept 12 142/145 bear call spreads for ($1.59-$0.60) x 100 x 10 spreads = $990 premium received


2 comments:

  1. Thanks - was stuck like a deer in the headlights- ;^)

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    1. Don't worry, you're not the only one.

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