Here's what we did to establish the short straddle position on Friday.
Sold 2 March SPX 1315 calls? SXYCC
Sold 2 March SPX 1315 puts? SXYOC
Credit of $38.50 (x 2 contracts = $7,700)
So, we GTFO by simultaneously buying back both short options for a debit of $29.50 (x 2 contracts = $5,900). That's a profit of $9.00 ($1,800) for about 3 trading days. I can live with that.
As I've been known to do, I'm probably leaving some money on the table by closing the short straddle so soon. During today's incredible move, the VIX came down an amazing 6.45 points -- providing us this opportunity.
I couldn't resist -- and now I have an extra hypothetical $1,800 in my hypothetical pocket.
I think I'm going to spend my hypothetical money on a hypothetical pizza. It's all Lydia will let me do. After all, I have to watch my hypothetical cholesterol.
By the way, after a shaky start, it appears that our Quickie trades have a fighting chance of finishing up 100% profitable - again. Who'da thunk?
Caio for now,