Market Summary
With the fiscal cliff deadline fast approaching the prospect of a drawn-out battle over impending tax and spending changes has made investors very nervous. November options expire tomorrow and prices could move closer into correction territory.

SPY Position Update -------------------------------------------------------------
SPY closed at $135.70 on Thursday

The October 11th Couch Potato published a November expiration SPY put spread
November options expire tomorrow and will need to close out this position for an approx. $3,000 loss (see tables below)

TLT Position Update -------------------------------------------------------------
TLT closed at $126.48 on Thursday

The October 11th Couch Potato published a November expiration TLT call spread
We plan on letting the call spread worthless for an approx. $1,200 gain. However, if TLT rises above $127.50 tomorrow the best bet is to play it safe and buy back the short $128 strike call contracts. (see tables below)

Exit Plan
As mentioned above November options expire tomorrow and we need to close out the SPY put spread, but our TLT call contracts should expire worthless.

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.