Opening (IRA): IWM October 14th 160/December 16th 194 LPD*

... for a 26.09 debit.

Comments: Short delta hedge against a long delta portfolio. 26.09 cost basis on a 34 wide with a 167.91 break even, a 7.91 ($791) max, and a 3.96 ($396) 50% max. The preference would be to put these hedges on in strength, so probably not the best setup as a standalone trade.

* -- Long Put Diagonal.

Trade active:

Rolled the October 14th 160 to the October 21st 160 for a .52 credit. Cost basis 25.57 on a 34 wide with a 168.43 break even.

Trade active:

Rolled the October 21st 160 to the October 28th 160 for a .53 credit. Cost basis now 25.04 with a 168.96 break even on a 34 wide.

Trade active:

Rolled the October 28th 160 to the November 4th 160 for a .92 credit. Cost basis 24.12 with a 169.98 break even on a 34 wide.

Trade active:

Rolled the November 4th 160 to the November 11th 165 for a .74 credit. Cost basis of 23.88 with a 170.62 break even on a now 29 wide.

Trade active:

Rolled the November 11th 165 to the November 18th 166 for a .51 credit. 23.37 cost basis with a 170.63 break even on a 28 wide. I don't have that many rolling opportunities left here, but can still roll up to the 170 (my break even) which will brining in more credit or, if necessary, roll the long up and out to give me more time to reduce cost basis.

Trade active:

Rolled the November 18th 166 to the November 25th 170 for a .51 credit. 22.86 cost basis with a 171.14 break even on a 24 wide.

Trade active:

Rolled the November 25th 170 to the December 2nd 170 for a .48 credit. 22.38 cost basis with a 171.62 break even on a 24 wide.

Trade active:

Probably should've just rolled these out two weeks yesterday instead of one (next week is Thanksgiving). Rolled the December 2nd 170 to the December 9th 170 for a .42 credit. 21.96 cost basis with a 172.04 break even on a 24 wide. Got one more roll left (from the Dec 9th to the 16th) before I have to do something with the back month.

Trade active:

Finally some weakness to roll into ... . Rolled the December 9th 170 to the December 16th 172 for .79. 21.17 cost basis with a 172.83 break even on a 22 wide. I will in all likelihood have to roll out the long leg to Jan in order to give it more time to work out and/or reduce cost basis further.

Trade active:

This ... is going to need more time to work out. Rolling the long option aspect from the 194 to the January 199 for a 5.30 debit (keeping the delta of the long basically the same) and the short leg out from the Dec 16 to the Dec 23rd 172 for .33 with a resulting cost basis of 26.14 and a 172.86 break even on a 27 wide.

Trade active:

Rolled the Dec 23rd 172 to Dec 30th for a .46 credit. 25.68 cost basis with a 173.32 break even on a 27 wide.

Trade active:

Rolled the Dec 30th to the Jan 6th 172 for a .62 credit on further weakness at the open and extended duration on the long while I could do so cheaply by rolling it from the Jan 20th 199 to the Feb 17th 199 for an .08 debit. 25.14 cost basis with a 173.86 break even on a 27 wide.

On a side note, rolling out the long is best done for cheap when it's convergent on 100 delta, since this is the point at which there will be minimal extrinsic in it.

Trade active:

Rolled the Jan 6th 172 to the Jan 13th 172 for a .98 credit. 24.16 cost basis with a 174.84 break even on a 27 wide.

Trade active:

Rolled the Jan 13th 172 to the Jan 20th 172 for a .43 credit on weakness. 23.73 cost basis with a 175.27 break even on a 27 wide.

Comment:

Rechecked the cost basis of this one ... . Should be 23.23 cost basis with a 175.77 break even on a 27 wide. Original cost basis (26.09) - total credits collected (8.24) + total credits paid (5.38) = 23.23.

Trade active:

Rolling the Jan 20th 172 to the Jan 27th 175 for a .34 credit. Cost basis of 22.89 with a 176.11 break even on a 24 wide.

Trade active:

Rolled the Jan 27th 175 to the Feb 3rd 176 for a .93 credit. Cost basis of 21.96 with a 177.04 break even on a 23 wide.

Trade active:

Rolled the Feb 3rd 176 to the Feb 3rd 177 for a .42 credit. Cost basis of 21.54 with a 177.46 break even on a 22 wide.

Trade active:

Rolled the Feb 10th 177 (the previous entry incorrectly indicated that the roll was to the Feb 3rd) to the Feb 17th 178 for a .51 credit. 21.03 cost basis with a 177.97 break even on a 21 wide. Will look to extend duration on the back month in the next week or so.

Trade active:

Rolled the Feb 17th 199 to the March 17th 212 for a 10.35 debit and the 178 short put to the 194 for a 1.58 credit to reset to the +90 delta long put/-30 short put. Resulting cost basis: 21.03 + 10.35 - 1.58 = 29.80 with a 182.20 break even on an 18 wide.

Trade closed manually:

Closed for 16.82, resulting in a realized loss of 12.98. Will reset here shortly ... .