prvtrader 11:59 am on Thursday, February 25, 2016

STO SPX Feb 26 BWBF…

STO SPX Feb 26 BWBF 1935/1925/1920 for $8.10 Credit Max Loss is $190.

Jeff 12:30 pm on Thursday, February 25, 2016

What is BWBF? Can you explain the trade?
- sasquatchonline 12:32 pm on Thursday, February 25, 2016
  
  broken wing butterfly
rknight52 12:31 pm on Thursday, February 25, 2016

Having trouble finding this one. Help us out here.
fuzzballl 12:34 pm on Thursday, February 25, 2016

So you’re betting SPX below 1933.90 tomorrow at the close?
- fuzzballl 12:35 pm on Thursday, February 25, 2016
  
  ooops…1933.10?
prvtrader 12:45 pm on Thursday, February 25, 2016

It is a long shot…I know. This market could open tomorrow at 2050 or it could open at 1925; who knows.
This is a broken wing butterfly, the max risk is $190 but it could make $310 or more. So I took a shot in the dark.
- fuzzballl 12:47 pm on Thursday, February 25, 2016
  
  What were the legs? Sold what and bought what? Trying to learn…
  - Paul 12:57 pm on Thursday, February 25, 2016
    
    It is a Butterfly with the longs a different widths.
    
    +1 1935 C
    -1 1925 C
    -1 1925 P
    -1 1920 P
    
    TOS Risk Profile shows max profit is at 1925 around $894, Credit of $8.95.
    Max risk is $400 to downside (below 1920), $120 to upside (above 1935).
    - Paul 12:59 pm on Thursday, February 25, 2016
      
      Oops. There is $400 profit (not loss) anywhere below 1920.
      - fuzzballl 1:03 pm on Thursday, February 25, 2016
        
        Thanks!