*****UPDATE***** 5/31/12  AFTER THE CLOSE OF THE TRADE

AROUND THE LAST SHORT SQUEEZE NEAR THE END OF THE DAY, I EXECUTED MY SELL BACK @4.20 CREDIT. IN NO WAY SHAPE, FORM, OR FASHION WOULD IT HAVE BEEN WISE TO HOLD THIS OVERNIGHT, THIS CLOSE TO THE STRIKES. SPX IS A CASH SETTLEMENT OPTION WHERE THE FIRST TICK OF FRIDAY MORNING WILL DETERMINE FINAL VALUES. ON TOP OF THAT FACT,  ALSO WAS THE NON FARM PAYROLLS REPORT LOOMING OVERHEAD AS WELL. IT IS ALWAYS PRUDENT TO TAKE DECENT PROFITS IN WEEKLIES WHEN THERE, AND MOVE ON .

ONE OTHER NOTE THE TRADE WAS ORIGINALLY OPENED AROUND 11:16 AM THIS MORNING 5/31, I WAS ASKED AND SAW THE TIME STAMP WAS NOT THERE ON ORIGINAL POST.

TOTAL PROFIT WAS 4.20-2.45= 1.75 PER SPREAD LOT

I HAD 4 SPREADS, SO THAT WAS= 175X4= $700 GAIN FOR AN INTRADAY SCALP TRADE.

PERCENTAGE GAIN OF 71.4% IN ONE DAY

FYI—-FOR ILLUSTRATIVE PURPOSES AND TO KEEP NUMBERS SIMPLE I NEVER FIGURE IN MY COMMISSION COSTS INTO TRADE PROFITS/LOSSES. MY COMMISSION COSTS ARE EXTREMELY CHEAP OF ONLY .15CENTS PER CONTRACT AND BASE CHARGE OF 4.95 PERIOD, NO LEG CHARGES, OR OTHER BIG GOTCHAS OUTSIDE OF REGULATORY FEES.

I NEGOTIATED MY COMMISSIONS DOWN WITH TRADEKING WHERE 3DD HEDGE IS AND CHARGES EVERYONE ELSE .65CENTS PER CONTRACT IN OPTIONS TRADES.

YOU SHOULD TRY NEGOTIATING COMMISSION CHARGES WITH WHO EVER YOUR BROKER IS; THE WORST THEY CAN SAY IS– NO.

*********************************************************************

*****UPDATE*****

HAVE SET SELL TO CLOSE @4.20 CREDIT TO HOPEFULLY CATCH THE EXPECTED RALLY BEFORE THE CLOSE, AND WILL DO MY BEST TO CLOSE THIS SPREAD BEFORE THE CLOSE FOR ANY PROFIT TO AVOID NFP HEADLINE RISK.

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Going on a limb here, but market data I’m receiving says we rally into the end of day from here.

Trading – Options – Spread
Leg 1 Leg 2 Price Duration
OptionSPXW Jun 01 2012 1300.00 Call
ActionBuy to Open
Contracts4
OptionSPXW Jun 01 2012 1305.00 Call
ActionSell to Open
Contracts4
Market
Credit
Debit

Even

Day Order

Quote SPX   1,300.05   -13.27 Bid 1,299.63 Ask 1,300.24 Volume 0
SPXW JUN 01 2012 1300.00 CALL
SPXW JUN 01 2012 1305.00 CALL
Bid 8.00 5.60
Ask 8.50 6.00
Last 8.50 6.30
Change -10.50 [-55.26%] -8.10 [-56.25%]
Volume 40 122
Delta 0.50 0.38
Open Int 152 58
Desc SPXW Jun 01 2012 1300.00 Call SPXW Jun 01 2012 1305.00 Call
Net Quote
Bid
2.00debit
Mid
2.45debit
Ask (natural)
2.90debit
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