Going well

So far the strategy is going well. Last Thursday I placed the second wing of the trade by entering the April 520/30 calls spread with a limit of $0.40 per contract. If all goes well and RUT ranges between 520 and 330 then I should be able to net $0.85 per contract.

I have a range of 190 points and there is 17 days left to expiration. As I write RUT is down 17 while the DOW is down 290 points, I sense a bit of profit taking.

I expect RUT to pull back to it's 20 MA which is around the 385 mark, see last chart posted on 24 March. Dow has support around 7250 and spx around 750.

Caution, the martket is still in a downtrend, it needs to peak above the last significant high and and a higher low before we can retore confidence in the market.

I'll be talking more about the VIX soon, for now thats all.

Now it's sit and wait.