The only “messy” scenario is if the SPY closes exactly between your strikes (e.g., $670) on expiration Friday.

• Your $672 Put is worth money.

• Your $668 Put is worthless.

• Professional Action: We don’t let the broker handle it. We close the entire spread as a single order for a net credit on Friday afternoon to take our profit and clear the risk.

👨‍🏫 Mentor’s Insight: The ‘Lock-In’ Strategy

“Stephen here. Many students worry about being ‘assigned’ on that short leg. Here is the secret: Assignment is actually a good sign.  It means the market has dropped so far that your trade is at its maximum possible profit. However, to keep your life simple, I recommend closing the trade manually once you hit 50% to 75% of your max profit. There’s no need to wait for the final bell and risk the ‘assignment headache.’

In our weekly 1-on-1 mentoring sessions, I’ll help you set ‘Alerts’ so you know exactly when your target is hit. Not sure where to set your exit? Book a Free Strategy Call today and we’ll map out your profit targets on the live platform.”

🛠️ Stephen’s Implementation Tip:

• Liquidity Matters: Always use the “Mid” price when opening and closing. Since you are trading two options at once, the “Bid-Ask Spread” can be wide. Don’t leave money on the table!