OPENING: SPY MAY 17TH 278/280/284 BROKEN WING BUTTERFLY

... for an .89/contract credit.

Metrics:

Max Profit: $289/contract
Max Loss: $111/contract
Break Even: 282.89 (no downside risk)
Delta: -6.75
Theta: .41

Notes: Taking a small directional shot at/near horizontal resistance with a risk 1 to make greater than 2 setup ... . Will start to look to take profit at 25% max (.73/$73).

Trade active:

At this point, will look to take profit on the long call vert aspect (the 278/280) near max, so entered a GTC order to pull that off for 1.95 (max is 2.00). Will roll the short call vert aspect (280/284) out should we see a break of 284, which is looking unlikely at this point.

Trade active:

Taking the loss on this one at near max and moving on to avoid assignment risk. Covered for a 1.88 debit, a .99 loser.