Replies to post #498 on Option Education

[Cstern71]

Perhaps you can help me understand a trade...

I'm playing around with TOS spread hacker

It is suggesting a diagonal spread:
Sell V Jan13 95 put at 1.10
Buy V Sep12 97.50 put at .12

It says max profit of 141% and probability of profit 98%

I sat and looked at this for a while and it seems similar to a vertical credit spread. In this case, I would receive a credit and the idea would be for the Jan13 puts to have lost a lot of value by Sep12 expiration I assume.