Market Summary
See yesterday's Couch Potato

SPY Position Update
See yesterday's Couch Potato for the analysis

SPY Bear Call Spread
Tomorrow we will attempt to close out the $115 strike short call for an approx. $1,380 profit (see tables below) - PLEASE NOTE that we should maintain the $120 long call. The ideal scenario is for stocks to bounce off support to recent highs allowing us to sell another June Quarterly strike call; plus after the June Quarterly options expire we hope to sell July calls against these same long calls that we have in play. At the very least we have very little to lose and a nice potential gain if this play works out. The 200-day SMA appears to be the demarcation point and if prices approach this level we will evaluate selling calls again.

SPY Bull Put Spread(s)
See yesterday's Couch Potato

SPY Risk Analysis
Yesterday Couch Potato mentioned "...We expect to close out our short call; therefore the only risk is prices decisively breaking below the 50-week SMA which has been the recent support level. A drop below support would threaten our short put(s) and force us to consider adjusting one or both put spreads..."

DIA Position Update
See yesterday's Couch Potato for the analysis

DIA Bear Call Spread
Tomorrow we will attempt to close out the $107 strike short call for an approx. $1,100 profit (see tables below) - PLEASE NOTE that we should maintain the $112 long call. The ideal scenario is for stocks to bounce off support to recent highs allowing us to sell another June Quarterly strike call; plus after the June Quarterly options expire we hope to sell July calls against these same long calls that we have in play. At the very least we have very little to lose and a nice potential gain if this play works out. The 200-day SMA appears to be the demarcation point and if prices approach this level we will evaluate selling calls again.

DIA Bull Put Spread
See yesterday's Couch Potato

DIA Risk Analysis
Yesterday Couch Potato mentioned "...Similar to the SPY risk analysis above, we will be closing out our short call; therefore the only risk is prices decisively breaking below the 50-week SMA which has been the recent support level. A drop below support would threaten our short put(s) and force us to consider adjusting one or both put spreads..."

Final Comment
Yesterday Couch Potato Final Comment stated "... Also, the market gave us a gift as we initiated the call spread(s) on Thursday and Friday's carnage should allow us to close out the short calls at our target profit after only one day..."

Gregory Clay

Couch Potato Trader Disclaimer
All results reported in this section are hypothetical. While the numbers represented here may have been achieved or beaten by our readers, we make no representation that any individual investor achieved these exact results. The tracking for the plays listed in this section uses closing prices for the day the newsletter is published and it is not meant to imply that any reader actually received those prices (though many often do) or participated in these recommendations (even though many do). The portfolio represented here is hypothetical and for investment education purposes only. It is only an illustration of what type of gains a knowledgeable trader might receive utilizing these strategies. If you don't get close to these results, guess what. It isn't the fault of the strategies.