Selling Swing: covering short on 590 july puts at .58 area
Posted: Tue Jul 17, 2012 1:58 pm
Selling Swing: covering short on 590 july puts at .58 area about 2x oversized profit and rolling up the short to 595 july puts at 1.11 area 3x oversized trough 590s . so we locked in profits on a 3x oversized short and were rolling it up to 595 trough 590. Before the close will buy half the contract amount of the 600 puts as we are short 595 puts and exit 1/2 of the 590 long leg to have a perfect butterfly and less risk overnight. Ideally now we move up into the close and then we could get a cheaper entry for the 600 july puts but if we don't then will be fast to create this butterfly earlier than we usually do it within the last 15 min of the day to remove overnight risk.
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 !!
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 !!