SPY - The S&P 500 appears to be making an attempt to establish a double bottom. With that said, there is still a possibility that the market retest the January lows near 126. The position is going to be on the SPY March quarterlies instead of April. The reason is that the position will be part of an option ladder when complete. The remaining contracts will be on the SPY April Puts and Calls(if applicable). Just like buying bonds with different maturities and coupon dates, spreading the time to expiration can provide some diversification.
The trade is for about a two week period so the Max Return isn't as much as it would be for a whole month. The nearterm support is at 127.59. Therefore, we are selling the 127s. The technical stop is at $127.59. The Strike Stop is at $127 and the Cost Basis stop is at $125.61. The P/L stop is currently at approxiamtely $130.5.