Jeff 10:31 am on Wednesday, March 16, 2016
Tags: SPXcampaign ( 2,265 )

SPX put spread

#SPXcampaign Sold to Open $SPX April 8th 1880/1855 put spreads for 1.30.

prvtrader 10:35 am on Wednesday, March 16, 2016

You don’t think the market is going to move after the announcement?
- Ramie 10:54 am on Wednesday, March 16, 2016
  
  He’s not putting the position on in anticipation of the market not moving. He’s saying that he believes the premium received is worth the risk that the market won’t move more than 2 standard deviations down (currently 1858), or more than 150 points by April 8.
  
  I might consider this trade if my deltas weren’t still so long.
  - Ramie 10:57 am on Wednesday, March 16, 2016
    
    Whoops I made a mistake. Short strike is 1880, not 1855 (that’s the long strike). So it’s not 2 standard deviations down, it’s more 1.6, in that area. Sorry about that.
- Jeff 10:56 am on Wednesday, March 16, 2016
  
  Ramie is correct on my general reason for ever selling credit spreads. But I am also generally bullish into the end of this week. If we do get a move up I hope to sell call spreads above 2100.
  - Jeff 11:04 am on Wednesday, March 16, 2016
    
    Like I said… bullish!
  - prvtrader 11:04 am on Wednesday, March 16, 2016
    
    Market moved up so everything is cool!

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