Page 1 of 1

Selling Swing: closing puts weekly Butterfly body by doubl

Posted: Tue Aug 28, 2012 12:47 pm
by MMASSASSIN
Selling Swing: closing puts weekly Butterfly body by doubling the short on the 655 puts at .87-.84. This brings down our risk. we are down on the open body butterfly and this bounce may be a bearish opportunity but can't take the risk of losing more than 1x before closing the butterfly. So sense we did not get bellow 674 before 12:30 , we chose to be safe and close up the body of this butterfly by doubling the short leg. We still remain bearishly bent on the strategy. If We fall again the way we can increase again the bearish standing would be to roll down the calls credit spread from 705 / 710 to 695 / 700 . many even as low as 690 / 695.

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 !!