Friday, 9/28/2018 (Expiration Friday)
Trade 1 (9:00:05 am, PT) ← SPX @ 2916.63
sell -4 Sept 28, 2018 2895 puts at $0.70 ← 9 delta (safe)
buy +4 Sept 28, 2018 2850 puts at $0.05 ← cheap wings
net credit: ($0.65) (4) (100) = $260 (max profit)
buying power reduction: (2895 − 2850) (4) (100) = ($18,000)
Trade 2 (12:41:34 pm, PT)
buy back all 4 short puts (2895) at $0.05 to take profits and remove the risk
PROFIT: $240 (3 hours, 41 minutes)
Note: SPX closed at 2913.98
Learn to SELL put spreads here!
