Hi Thean. I was going to ping you on the put selling. I guess that a few of those puts are underwater now, eh? Are you rolling them, or taking delivery?
You're right, for the non-faint-of-heart, put selling is "at a ripe time....." - for a bullish view.
However, getting back to our discussion of "buffers", I would endeavour to NOT be mega-agressive on selling IM puts without protection, but I would sell OM (Out of the Money) puts without it.
Being first back into the water after a shark attack is risky!
I can't imagine how much pain there will be if we go down to 3800. There will be real bad pukin', which will make this drop look like a walk in the park. A drop, even to 4100, would be a very deep "muscle" cut, generating huge numbers of margin calls.
Thoughts?
Steve
PS: BTW, I was browsing back here and remembered our discussion about me banking some profits. That decision saved me quite a bit of dough, although you can't help bleeding if you've got ANY NAZ stocks.....
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