Opening (IRA): SPY February 18th 443/June 17th 520
... long put diagonal for a 68.09 debit.
Comments: Re-erecting my short delta hedge in SPY to cut delta in a net delta long portfolio after closing out my previous setup which had converged on nearly flat delta. Here, selling the 50 delta strike in the front month and buying the 90 delta in the back month. Paying 68.09 for a 77 wide, -41.73 delta with a 451.91 break even.
As before, I will roll out the short put aspect weekly to collect credit and reduce my cost basis in the hedge and keep it on as long as I continue to need the short delta.
Comments: Re-erecting my short delta hedge in SPY to cut delta in a net delta long portfolio after closing out my previous setup which had converged on nearly flat delta. Here, selling the 50 delta strike in the front month and buying the 90 delta in the back month. Paying 68.09 for a 77 wide, -41.73 delta with a 451.91 break even.
As before, I will roll out the short put aspect weekly to collect credit and reduce my cost basis in the hedge and keep it on as long as I continue to need the short delta.
Trade active:
Rolling the February 18th 243 to the February 25 243 for a 1.02 credit. Cost basis now 67.07 with a break even of 452.93.
