New Trade Entry. : SPX Weekly Put Credit Spread for May 4 cycle. Below is this week's position entered this morning:
SPX Position Entered Wednesday, May 15, 9 days prior to expiration:
SPX May 4 Put Credit Spread at entry
Time of entry: 10:30 am Eastern. SPX price: 1,648.60 at entry; VIX at 13.07
SOLD May 4 1610 Put. Delta -.16 at time of entry
BOUGHT May 4 1600 Put
Credit received: $.90
Maximum margin/risk is $910. Maximum risk is the width of the spread ($1,000) less credit received $90).
Target Gain: $67.50 (75% of credit received). This gain represents a 7.4% gain on actual margin.
Maximum Loss: $90
I will post an update as the trade progresses.
As always, stay keen on your risk management and trade carefully.