As I mentioned this morning (and yesterday) that I would consider some profit taking. Since the market gaped down quite deeply I decided to close my puts position on SPY and take nice $174 profit per contract. I also closed my bear put spread on IBM and collected around $100 profit. Actually $80 after commissions.
On Tuesday the market may rally back and erase some of today’s losses. Overall I am still bearish, so if that happens I may re-enter my put positions on SPY. If the market continues falling on Tuesday, I may re-enter as well. I still think that the market will go lower (to $1100 – $1000 level ($SPX)). We will see.
Happy Trading and a happy holiday!
Vow, I wish I could make profit like you investing into stocks!