SPY Straddle

[Nevermind]

Hi guys,
 
when I look at my SO and SC portfolio we are more or less at good levels for most of our positions but we are heavily short volatility and the market keeps moving. With China situation and rate hikes ahead it's maybe a good idea to hedge our portfolio a little more with a spy straddle.  I am considering open a spy October straddle today. Sure volatility is high but we might be able to get some nice gamma gains if market keeps moving like crazy.
 
What do you think?

[Rogers]

I have a love/hate relationship with straddles..  I love them on days like monday or yesterday when the market had settled down and then got jumpy again.  In an already jumpy market they scare me because they can lose money vrey fast.  It takes a lot of positive delta to overcome the loss in premium when the markey is rising.  I am in the same camp as Kim in that I would rather have a play that also has some earnings premium built into it.  Some of the recent earnings candidates like JOY and FNSR experienced nice gamma gains...  Right now LULU has potential...   my 2 cents

 

Scott

[Nevermind]

I have a love/hate relationship with straddles..  I love them on days like monday or yesterday when the market had settled down and then got jumpy again.  In an already jumpy market they scare me because they can lose money vrey fast.  It takes a lot of positive delta to overcome the loss in premium when the markey is rising.  I am in the same camp as Kim in that I would rather have a play that also has some earnings premium built into it.  Some of the recent earnings candidates like JOY and FNSR experienced nice gamma gains...  Right now LULU has potential...   my 2 cents

 

Scott

Thank you for your comment