OPTIONS TRADERS CO-OP

[gdl]

IF past history is a guide we should be treading water over next 2 days. This is week 18 of correction. Average time is between 21 and 24 weeks.

The big drop should start this Friday and last 5 or so trading days. Holding my 260 Puts for this Friday but frankly expect it to be worthless. I am holding it in case my assumption is wrong and a big crash day between now and then occurs.

I expect 254 on SPY to be minimum drop by 6/8. That puts us in week 19. I then expect a decent rally anywhere from one spike day to 3. After that it should start the second stage of drop all the way to low 230's.

If market holds up next 2 days I will load up on 260 PUTS again for 6/8 expiration. Will post trades when it happens.

Good luck folks!