Today I entered a 197 strike Put Calendar spread using July/August options:
This is essentially a Vega positive trade, that benefits form an increase in volatility. Along with the 191 Put Calendar spread this creates a 191/197 Double Calendar.
(Click on image to enlarge)
If SPY keeps going straight up and hits 200 I will be closing the whole thing for a small $120 loss.
Check out 2014 Track Record
Related Articles:
Weekend Portfolio Analysis (June 14, 2014)
Weekend Portfolio Analysis (June 21, 2014)
Weekend Portfolio Analysis (June 29, 2014)
Closed 191/197 Double Put Calendar spread for profit on July 8, 2014
Bought SPY 197 July/Aug Put Calendar for 0.98 debit. Now forming Double Calendar with existing 191 Puts
— The Lazy Trader (@lazytrading) June 10, 2014
This is essentially a Vega positive trade, that benefits form an increase in volatility. Along with the 191 Put Calendar spread this creates a 191/197 Double Calendar.
(Click on image to enlarge)
If SPY keeps going straight up and hits 200 I will be closing the whole thing for a small $120 loss.
Check out 2014 Track Record
Related Articles:
Weekend Portfolio Analysis (June 14, 2014)
Weekend Portfolio Analysis (June 21, 2014)
Weekend Portfolio Analysis (June 29, 2014)
Closed 191/197 Double Put Calendar spread for profit on July 8, 2014
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Hey LT, I'm looking forward to seeing how this plays out! I haven't traded many calendars, but they've always been really interesting to me. Your trading with the commentary will add a lot of value. Thanks.
ReplyDeleteThanks Dan.
ReplyDeleteYes, definitely trickier positions to manage. Been studying them for a good while now and feel more comfortable with real money. Thanks for dropping by my friend.
Cheers,
LT