Leaderboard

Ok, well it would take 17 September 2014 176 puts to hedge the $300K (176 * 17 * 100 = $299,200). Not knowing what you paid for those, it's impossible to know for sure how many of your "extra" puts are for paying off the hedge. I would anticipate though (using the same 10:4 ratio) that seven of them are. So if you allocate 24 of your September 2014 176 puts to the anchor strategy, that means you have left: 18 September 176 puts 5 September 168 puts or 23 total to use on the SPY Diagonal strategy. At a 4:5 ratio, you'll have 18 or 19 two weeks out and 5 or 4 one week out. So if that's true, then you should have the following short positions: Short 7 two weeks out (or the Nov 8 176 puts) for the Anchor strategy Short 18 or 19 two weeks out on the 4:5 ratio (or a total of 25) And short 4 or 5 one week out (the Nov 1 at 172) So it looks like to me you're not quite short enough to be doing both the Anchor and Diagonal.