Jeff 6:53 am on Tuesday, February 2, 2016
Tags: SPXcampaign ( 2,265 )

SPX more puts

#SPXcampaign Sold to Open $SPX March 4th 1700/1675 put spreads for 1.25. First sale in this expiration.

Bobbie 7:10 am on Tuesday, February 2, 2016

does anyone here trade the NDX?
sasquatchonline 12:34 pm on Tuesday, February 2, 2016

I followed you in but added a call for protection on a whim. Have you ever done something like this?
STO Mar 4 BUPS 1700/1675@1.35
STO Mar 4 BECS 1705/1700 @4.65

This gives me a likely profit of 1 but added downside protection and a possibly greater upside.
- sasquatchonline 1:08 pm on Tuesday, February 2, 2016
  
  I do a lot of stupid things that sound great when I first find them or think of them. I’m wondering if this is one of them.
  - Jeff 5:25 pm on Tuesday, February 2, 2016
    
    Yeah, I’m not feeling your trade. Did you model this on a risk graph?
  - Jeff 5:43 pm on Tuesday, February 2, 2016
    
    I looked at your trade, and although I wouldn’t call it stupid by any means, it doesn’t give you much protection.
sasquatchonline 11:14 pm on Tuesday, February 2, 2016

I didn’t model this on anything. TOS initializes the SPX spreads 5 wide, and I clicked on the call side by accident. I saw that it cost max .35 to up my max profit to 6 @1700 and move my break even to 1694. Although I don’t see it getting there, I put it on mainly as something to think about because I haven’t really traded indicies. It does have the unfortunate side effect of incentivizing me to leave it on until expiration or closer to it than I might otherwise.