VIX6 SPX Trade Update #1
Good day Insiders,
This market seems to be on an escalator back to big round numbers. Consecutive up days and the Dow now hovering above 23,700 leads one to the opinion that 24,000 Dow is next and it very well could be. Take note for a moment that the market keeps closing on the lower end of the highs. It is almost as if the buyers get frightened to hold into the close and open of the proceeding trading day. Maintaining the opinion that we are headed lower before testing key resistance levels and potentially the highs, we are going to do a slight adjustment in the SPX trade. Recall we had sold the 2615-2625 call spread for a sizeable credit, we are going to add a bit of exposure for a tad more room and a few extra days to be right.
Rolling the spread out an extra week and further via strikes, just incase the buyers don’t run scared as early as anticipated.
Risk & Reward
We will add $2,400 of risk here, in exchange for 35 points of breathing room.