Option settlement

Settlement price is above 975, so the loss is $280.

Gap risk

Covered the call side of the straddle at $18.50 to eliminate a potential gap-up risk.

Total debit to this position = $1530 - 1850 = $280.

It means a loss of $280 if the settlement price is above 975.

straddle

SOLD -1 STRADDLE SPX 100 (Weeklys) JUL5 09 975 CALL/PUT @15.30 CBOE

July 22, 2009

As I got no feedback from my blog readers, i am going to stop posting my trades in this blog.

I will continue to post the adjustment of the current position until they are all expired or closed out.

July 20, 2009

I sold 5 contracts of SPX Aug 765 put at 0.9. Total credit = $450

Total debit for the existing portfolio = $920-450 = $470.

Option expiration

The previous positions with total credit of $5375 have been expired worthless today. It means I have made $5375 from that portfolio.

I just sold 3 contracts of SPX Aug 825 put at a credit of $3.5. A total of $1050 is credited to the current portfolio.

Total debit for the existing portfolio = $1970 - 1050 = $920.

New position for July 2009

BOT +2 1/-2 CUSTOM SPX 100 AUG 09/JUL 09 850/850 PUT/PUT @9.85 CBOE

I opened the above strategy just before the close today. Total debit = $1970 for this new position.

weekly expiration

SOLD -3 SPX 100 JUL 09 875 PUT @8.60 CBOE

I just sold all remaining Jul 875 put for a total credit of $2580.

Total credit for the portfolio = $2795+2580 = $5375