It appears some of us were assigned on our CAT short 30 Sep 195 puts. No worries if this happened, easy to get out of the position for about the same price as if we had just closed it.
This is a several part alert depending on your current position.
If you were assigned there are 2 ways out of the position or your broker may have already done this for you.
TRADE CLOSING
Caterpillar (CAT): 171.24
CAT TRADE ACTION 1: If you were assigned CAT and your broker did not close the stock. Exercise your long 30 SEP 190 put. This will close both the stock and the option.
Exercise the 30 Sep 190 put
CAT TRADE ACTION 2: If you assigned CAT and your broker did not close the stock. Sell the stock at the market and then sell the 30 Sep 190 put.
Sell CAT stock shares
STC the CAT 30 Sep 190 put
CAT TRADE ACTION 3 (if not assigned): CLOSE the CAT 30 Sep 190/195 put spread and the 190/195 call spread for a debit of around 4.90-5.00
BTC the CAT 30 Sep 195 put
STC the CAT 30 Sep 190 put
BTC the CAT 30 Sep 190 call
STC the CAT 30 Sep 195 call
Do not pay more than $5.00 for this trade as that is the intrinsic value. You may have to place it as a GTC order. We had morphed this trade into an iron condor as we adjusted it.
We will reset a longer-term trade tomorrow in class.