DIA – Dow Industrials ETF (Last:170.19)

We’ll monitor this vehicle more closely for low-risk shorting opportunities in the days ahead. Let’s warm up with an order to buy four Oct 10 169 puts if and when DIA gets within 0.04 of the 171.10 target shown. I estimate that the puts will be trading for around  0.75 then, but you can refine the bid as warranted by training on the bid/asked when DIA gets to 170.90.  We’ll risk a theroretical $80 on this one, stopping ourselves out of the puts if they trade 0.20 below where bought.  ______ UPDATE (2:50 p.m.):  A dead-center bullseye here, since my tout — sent out last night — caught the high of today’s fake-out rally exactly to-the-tick. If you got short as I’d suggested, please let me know in the chat room and I’ll establish tracking guidance. _______ UPDATE (3:44 p.m.): A fill at 0.75 was reported (somewhat belatedly) in the chat room, so I’ll now recommend shorting four Oct 10 167 puts for 0.60 against the four held. ______ UPDATE (4:04 p.m.): Some cheap fool was bidding 0.59 for the calls at the close. Let’s offer them for 0.68 when they open Wednesday morning, assuming index futures haven’t fallen by much overnight. If they have, adjust the offer accordingly.