"Infinite Patience Yields Immediate Results"
I find this quote worth repeating from time to time; there is no rush to enter any new position and patience is in order once again.
For those of you who may have missed my post the other day, the next entry day for the weekly SPX Credit Spread will be Friday, February 28. As of this writing futures are fairly flat. However, today brings a barrage of economic data, including Janet Yellen's Senate testimony which could bring some volatility into the day. Tomorrow morning at 8:30 am the monthly GDP report is being released, so my plan is to wait and enter a new position after the market settles. As usual, I will wait at least the first hour before entering.
As of the close yesterday, the 20 day EMA was 1823.45. Because SPX is still well above the EMA, unless there is a dramatic pullback, the next entry will be a Put Credit Spread. The six month chart of SPX is shown below:
SPX six month chart:
I will look to sell a put spread with a short delta of -.15 or less, as long as there is at least $.75 credit available for the spread. Entry details will be posted when the trade is opened.
As always, trade carefully and stay keen on your risk management,