Wednesday, May 23, 2012

Expiring $FFIV credit put spreads for $420

15jun - in hindsight, this was not a good entry , blew right thru the 200day and got near the short strike which would have been a gap fill (red line)..time decay kicked in to let this expire for max profit. Jun90/95 credit spread x10 =$420


24 MAY - per the setup below i entered into FFIV credit put spreads yesterday, could have got better prices by waiting a bit:

Sell the Jun 90/95 credit put spreads at .42 credit

filled the gap and tagged the 200day, strikes right below some support near 97ish, probability of max profit at 85% at time of entry according to Trademonster analyse tab.

23may - had an outside bullish reversal on monday that did not work out and is solidly into the gap from earnings prior..setting alert for under 110 to get the full gap fill..that level lines up with the 200day...holds there will price out some credit put spreads near the 95/100level or lower. glad i rolled those short calls within my diagonal spreads to the 115 instead of up to 120..little bit more protection.

here is a video by dan fitzpatrick from monday about that outside reversal..Note: you can sign up for a free daily video at his site, no CC needed, -->> FFIV video

No comments:

Post a Comment