Alert: Open SPX Dragonfly

Ticker: SPX
Price: $4164.00
Date: 4/28/23 1:30 PM

Underlying: S&P 500 Index Fund

Est. Net Debit/Credit: $250

Master Portfolio Contracts: 5 (and 10)

NOTE:  Open SPX dragonfly.  Due to margin requirements, we’re keeping the contracts to 5 (and 10).  


We are setting the dragonfly further away from the money. This has two advantages. It gives us more room to the downside and the ability to just to the upside.

If we cannot close it on Monday or Tuesday, we will modify it as we have in the past and this usually doubles the returns. If there’s a little pullback, we may still be able to close it for slight profits.

The market is wide, work the order. We were able to test fill a few contracts at 0.50 credit.

Trade Detail:

BTO +5x SPX 12 MAY 4025 put
STO -10x SPX 12 MAY 3990 put
BTO +5x SPX 12 MAY 3925 put

Price 0.45 – 0.70 (Prices are wide!  Start high and work your way lower) 

Margin Required: $15,015