1. The ‘Smarter’ Directional Bet
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2. The Math of Leverage (Risk vs. Reward)
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3. The Greeks of Momentum (Delta & Theta)
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4. Picking Your Strikes and Assignment Risk
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5. Actions to Take at Expiry
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6. Topic 6: Course Summary & The Bearish Roadmap
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Because you sold the $668 Put, there is a technical risk that the person who bought it from you will “exercise” their right to sell you the shares.
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When it happens: This usually only occurs if the SPY falls well below $668 and we are very close to expiration.
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The ‘Safety Net’: Even if you are assigned 100 shares of SPY at $668, you still own the $672 Put. You can immediately exercise your own right to sell those shares at $672.
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The Result: You buy at $668 and sell at $672, locking in your Max Profit ($4.00 width). Your long put acts as a permanent ceiling on your risk.