Thread: Cortez's S&P500 account talk

Originally Posted by FUTURESTRADER

sold 5 s&p 500 1380 big contracts for $.30 each today..expires friday...thats $56.50 each after $18.50 comission each...$282 ttl net point n click..pretty sweet...will be in a margin call but that holds off for 5 days..expiration in 2 days..unless S&P touches 1380 before then...not

Personally I would close out of those puts if 1400 is broken. You have to protect your short strike with a buffer. However, it appears to be a safe OTM credit play.

Buyers gave it a shot this morning and didn't surmount much of a rally. Will sellers do their afternoon thing again? I expect it to remain relatively stable this afternoon with a slight downside bias.

Originally Posted by FUTURESTRADER

sold 5 s&p 500 1380 big contracts for $.30 each today..expires friday...thats $56.50 each after $18.50 comission each...$282 ttl net point n click..pretty sweet...will be in a margin call but that holds off for 5 days..expiration in 2 days..unless S&P touches 1380 before then...not

I closed out my puts at the close today for a 32% gain on 5% estimated risk. The SPY 145 area was being heavily defended either by buyers and/or shorts and put buyers exiting. Looks like your 1400 SPX puts are safe absent a catastrophe.

The downside risk is too great to enter into this market. This is a time to keep greed in check until the market reveals some strength. Staying 50%G, 50%F.