[Creating Spread Against QQQQ Puts]
Dear Member:
As the markets continue to rise, I want to remove some of the risk in my Jan 45 put position and bring in some income at the same time. I have kept the Jan 45 put position as a hedge "just in case." I am now placing an order to sell to open the Oct 50 puts (QQQVX) at a limit of $0.45. If filled, that will result in a diagonalized calendar spread where I am long the Jan 45 puts and short the Oct 50's.
DISCLOSURE: At the time of publication, I am long the Jan 45 puts on QQQQ.
Sincerely,
Bill Kraft
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