The Basic Value Optionality System
Micro-spective Index Execution
As we put ourselves in your shoes, our favorite geniuses, we are looking at what we can do with $300 to $500 a week out of a $1,000 balance:
The Setup
Today the S&P 500 ETF SPY 0.00%↑ opened at $377.00. Giving us a perspective on a 3% return for the S&P 500 by next week Friday end of day November 11, 2022 pricing of $388.31. To capitalize on this micro-spective I like the idea here of employing a Diagonal Bear Put Calendar Spread:
Deployment
Leg setup:
SELL Nov 11, 2022 $390 PUT
BUY Nov 14, 2022 $394 PUT
Net Debit limit (pay no more than regarding cost): $3.70 / ($370)
A limit order for this trade may or may not get executed for this Friday to Friday trade. This is ok because patience is a virtue. This end of day trading submission is intentional to show that it is ok to wait for this trade to execute on our terms. We are doing this by breaking up a $1000 balance.
High Risk of losing all $370;
not including trade commission
MOST IMPORTANTLY
DISCLAIMER
The views here are a codification of how I am thinking about this company and the interesting aspects of the potential loss or gain that can take place. These are highly risky. At anytime I maybe invested and this should never be considered investment advice. Consult your financial advisor or who ever you work with on your own personal investment decisions.
I do not provide personal investment advice and I am not a qualified licensed investment advisor. I am an amateur investor.
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