On Jan 1, 2010
Your long a DEC 2012 put at 110 for $1700
and short two DEC 2012 puts at 90 for $950 each
If you had no choice, and 'HAD' to be in the position above until expiration or prices going below 900 on the underlying, what comes to mind as to how YOU would sell short term premium each month, or each 3 months, if it was allowed in our intial setup rules.
I know there's a million answers, and that no trader trades the same, and there's no holy grail, and on and on. Yes, that's true, but I want to observe the different traders outlook on the market in this scenario in terms of adjustments. I welcome and appreciate all views.
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