BOUGHT TO CLOSE RUT/IUX APRIL 8TH 1050/1060 SHORT PUT VERTICALAlthough today's upmove was fairly slight, the move -- coupled with a bit of volatility weakness -- was enough to get me out of the short put side of this setup for about a $50/contract profit. That isn't great, but the put side was a rolled spread that was a bit close to current price, so I seized the opportunity to close it out here.
I then proceeded to roll the short call side out another week and one strike higher and wider to the April 15th 1105/1120 for an additional .93 ($93) credit. I will probably match that up with an April 15th short put vertical or see if I can just exit the short call side in profit here in the next couple of days ... .
The beginning of earnings season is upon us after all ... .
Vertical
High - Low Bollinger Bands These work better than the standard Bollinger Bands for setting extreme ranges.
What I use these for is to use an oscillator to find an buy / sell signal then take that to the H L Bollinger bands and mark the spot. Most of the time, you will find that the price does not exceed this spot for the duration (length) of the H L Bollinger bands.
This makes them good for doing Credit Spreads such as Put Vertical Spreads and Call Vertical Spreads. Since the price will normally not exceed the bands at the extreme point, the trader can profit from the time decay and other factors.
AMZN Short [Weekly Chart]Lots of short indicators. Would trade at least for the short term if not long. Keep in mind the graph is logarithmic so the gain could be quite substantial even with a quarter of target movement.
