Tuesday, May 15, 2012
Taking Off Some of the Insusrance, for a profit!
As discussed here, in late April, CCI established two, May, index, short put spreads to provide a little insurance for a portfolio for the chance/probability that a correction in them market was likely to come at some point this year.
Yesterday, CCI closed the May $67 -$65 QQQ (Nadaq-100) put spread. This spread was purchased for $.82/contract and sold for $1.80/contract. That's a nice, "little", 20% gain to provide a small buffer against the recent market slide.
CCI still owns the SPY May $136-$130 put spread, but anticipates rolling that out to June in the very near future.