Selling Swing: Creating here a Credit spread on in the mon

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MMASSASSIN
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Selling Swing: Creating here a Credit spread on in the mon

Post by MMASSASSIN »

Selling Swing: Creating here a Credit spread on in the money today expire by selling 135 puts at .77 and buying 134 puts at .18 2X OVERSIZED. This in the money credit spread is a bet that we move higher into the close and since the loss potential is smaller in this case than profit potential am willing to make the position twice my usual money allocation. If we were to see a pullback the hedge would be the reverse in calls.

This trade is one part of a larger strategy so please look back at Previous posts to see the whole picture. AND IF YOU ARE NEW, PAPER TRADE FOR AT LEAST A FEW MONTHS because this is ADVANCED OPTIONS TRADING !!
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