Boca_Bobby Basics

[boca_bobby]

Ok folks, the SPY is dropping off the table and I don't want to see profits slip away so we locked it in here.

We sold Oct26 SPY $143.50/Puts @ $0.96

This creates a $145/$143.50 Put Spread overall.


But since we originally bought the $145 Put @ $0.64 which took money out of our account, we now sell those $143.50 and put the money back into the account with a little profit to boot.


We already made 50% on the trade and can sit back and watch to see if the SPY closes below $143.50. If this happens we stand to collect another $1.50 per contract. Of course we could always just sell the spread at any time and it's all profit!