ODAX Dec 2017 Bear Put Spread

Summary

Today, early in the morning, I bought a ODAX Dec 2017 12650-12600 Bear Put Spread. By definition, this trade is a debit spread, which means that I had to pay 51,5€ to open it while it has a limited maximum profit of 199,5€. Those 51,5€ also represent the maximum loss and there is also a low probability of success (the market actually needs to go in my favor before December 17 to make a profit).

DAX on Oct 19 2017 Source Investing

The idea here is betting on a pullback risking little capital. Volatility is too low to open a Credit Put Spread while I already have too much upside expose with the infamous November Iron Condor.

Trade details

Type	Name	Open Date	DTE	Spot	P/L	Max Loss
Put Spread	ODAX Dec 2017 12650/12600	19/10/2017	57	12950		51,50 €

Max profit is reached at 12600, so this trade will act as a small hedge for the Put leg of the Iron Condor deployed in November (see below).

See all the trade details here.

Current Portfolio

Type	Name	Open Date	DTE	Spot	P/L	Max Loss
Call Spread	ODAX Dic 2017 13650/13600	19/09/2017	87	12535		0,50 €
Type	Name	Open Date	DTE	Spot	P/L	Max Loss
Put Spread	ODAX Nov 2017 11000/10600	28/08/2017	81	12120	71,00 €	N/A
Put Spread	ODAX Nov 2017 11500/11100	11/09/2017	67	12400	73,50 €	N/A
Put Spread	ODAX Nov 2017 12000/11600	28/09/2017	50	12700	61,00 €	N/A
Put Spread	ODAX Nov 2017 12450/12000	10/10/2017	38	12950	60,00 €	N/A
Put Spread	ODAX Nov 2017 12800/12400	18/10/2017	30	13050		1.338,50 €
Call Spread	ODAX Nov 2017 12800/13200	28/08/2017	81	12120		1.338,50 €

Apart from the mentioned Iron Condor, another debit spread is deployed on the Call side. However this one has almost no risk as I opened during two different days and the credit obtained from the short side matches the debit from the long side.

See also

• ODAX December 2017 Bull Call Spread
• ODAX November 2017 Iron Condor Adjustment (V)
• 2017 trades (so far)