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Hi
this is just for education .
let say 1/29/98 you follow your support and ressistance levells for this
trading day
R2 was 984.65
985.39
988.21
1.38 993.22 (spot)
when sp future hit your target in price you buy a june 990 future put
in essence you are acomplishing 2 folds
A: you locked your proffit
b: you can stay overnight if you wish (you have an insurance policy for
disaster
c: let say fri morning sp500 sell off to 985 . you sell put@ nice
proffit
and enter secound sp500 long.
d: if sp500 close@xxxx at fri close.. (and it probably will not)
you close 2 sp500@xxxx
NICE 2 DAY WORK
YOU CAN HAVE A NICE WEEKEND
the same would work if you are short sp500 from 990 today but bought a
call
when sp500 was @ 980..
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