Silver/Criags - The trouble with trading it in a downturn is those $50/penny contracts really start to hurt! Your doubling down was very tight and that makes it more painful and makes it harder to ride out a big spike down like we're getting. All I'm looking for is a bounce back to $15 (or even close) so I can have just 2 contracts at a $15 avg and then, at $14.50, I'd add 2 more for 4 at $14.75 and then, at $14.25, probably 4 more.
I don't even see how you had a chance to add at $15.29 and $15.14 the way it was falling - why wouldn't you wait for it to stop falling first?
Huge winners on the index shorts now - don't be too greedy - especially if you already have ETF shorts that are covering you.
SLW/Pat - Waiting for silver to settle but let's say:
In our LTP, we have 40 SLW 2017 $15 calls at $5.75 and 40 short $18 puts at $2.90. With SLW at $15.76 and Silver at $14.85, they are now $3.25 and $4.20 respectively. I still like that combo as an aggressive play on silver (and an inflation hedge) so no change on this "minor" dip.
In the STP, we have 20 short Jan (2016) $18 puts we sold for $2.41 and they are now $3.10 and I still like them as a new play. In the STP, we can add to that 20 Jan $15 ($2.05)/18 (0.85) bull call spreads at net $1.20. That still leaves us with a $1.21 net credit, so our break-even is $16.79 (easy to roll) and possible upside goes from $2.41 to $4.21 at the same $18 target.
As a new trade idea, I'd sell 10 of the short Jan $18 puts for $3.10 ($3,100) and buy 20 of the $15/18 bull call spreads for $1.20 ($2,400) for a net $700 credit that pays another $6,000 if all goes well for a $6,700 total gain, which would be +950% in 6 months on cash.
