Trade Placed: Nov 2009

Today, before the end of day spike, I sold a Nov 09 1375 put for 1.50. Volatility is pulling back as the Dow breaks 10,000 and it seems like this earnings season will be a repeat of the last one - less bad is good!

Index level: 1748.84
Sell to open: 1 Nov 09 1375 put
Credit received: 1.50
Initial Margin req.: $13,747.50
Commission: $1.25
Net credit: $148.75
Days to expiry: 36
Simple return: 1.08%
Yield: 10.96%
% to ITM: 21.38
%Probability of expiring ITM: 2.49%
VXN level: 23.07%
Mmkt equivalent earnings @ 1.30%: $17.60

Please view my disclosure on the bottom of this blog!!