Sunday, April 22, 2012

I got long (4) 390/385 AAPL put spreads on 3/14 and was under water immediately and then all of the next four weeks, was betting that it wouldn't break $600 on the upside and would sell off if it did. I was way wrong.  Early this past week on expiration I finally had a close under my short strike at 385, but because volatility increased on the $50 sell off I wasn't able to even scratch the trade for a push. I got lucky and at the open on expiration Friday I was able to finally scratch the trade for a few pennies profit. Right after I sold when we were at $584 I watched it go to $590 and was feeling good, then it ended up finishing in the green, but at $630 with a week to go I needed a miracle and got it, so happy to not lose on this trade. The blue lines are the strike prices.

I took this screen shot right when I got filled to close the trade and was feeling gracious, we hadn't been under my strike for more than an hour any time in the last few weeks. I think my drawn line is $585 or maybe my cost avg of $587. I was using it as a visual the previous few days looking to break even.


  1. You meant to say 590/585. I've been run over by AAPL this year, hope to take some revenge tomorrow. Have taken a pretty large position in the Sosnoff big wide iron condor, and sold some strangles even further outside the range of the IC. Now just need an inside move.

  2. Wow, must have been tired when I wrote that. Thanks for the catch. I broke even on this trade essentially but still down trading AAPL. I lost on a put spread in March expiration. I currently have zero positions on.