We are going to close our current SPY with small profits (showing about 0.90-1.10 currently per contract) and reset. This is due to the long options starting to decay faster than we want. So, by taking some smaller profits we can reset to a single calendar and allow the market to move before we must do anything else with it.
SPDR S&P 500 ETF (SPY): 399.80
TRADE ACTION 1: CLOSE the SPY 31 Mar 378 put/21 Apr 378 put for a credit of around 1.40 to 1.50
STC the SPY 21 Apr 378 put
BTC the SPY 31 Mar 378 put
TRADE ACTION: CLOSE the SPY 31 Mar 401 put/21 Apr 401 put for a credit of around 4.10 to 4.15
STC the SPY 21 Apr 401 put
BTC the SPY 31 Mar 401 put
We will then open a new calendar spread. Puts are trading at about a 20% discount to call at the moment so we will use those to keep the cost of the trade cheaper.
TRADE ACTION: OPEN a new SPY 14 Apr 399 put/16 Jun 399 put calendar for a debit of around 7.00 to 7.10
BTO the SPY 16 Jun 399 put
STO the SPY 14 Apr 399 put
The master account is trading 3 contracts and the new spread will cost around $2,100-2,200 for 3 contracts.