ajtj99's Market Pulse

[m1lenk0]

If your short via double inverse's its not a bad strategy to sell covered calls against those positions down at this level. For example SRS March 90 ITM calls are selling at 17.00. If you purchase SRS at the current level of 96.45 you will be hedged all the way down to 79.45 at expiration. And have a maximum gain of 113.45. I cant see SRS dropping that low. In fact i dont see a rally lasting anywhere near as big as the november 21st rally. I think we trade in this range for quite some time or even continue to drop until June.