FEB 08 DIA Butterfly/Vertical postion (+14%)

1/02/08
Placed a FEB 08 DIA butterfly and verticle postion:
bot +2 butterfly DIA FEB08 124/130/136 CALL @1.34 debit (mark 130.38)
sold -1 verticle DIA FEB08 135/138 CALL @ .94 credit

verticle placed to take a more bearish bias on DIA and fund some of the income butterfly postion, my adjustment point is 135 on the upside and downside is fairly open for profit until close till FEB expiration when the max loss is $174. Need to guard against a up move, there are alot of resistance points, first at 133 then 135 and each point again till 140. Fortunately price doesnt gap up like it gaps down, so it is typically more safe to be exposed to more risk on the upside then the downside. Plan to take off CALL verticle once it hits .10/.15 cents and taking off half of the butterfly postion once it hits 100% and re-evaluating thereafter.

1/15/08
btc +1 vertical DIA FEB 135/138 CALL @.20 (mark 125.81)
originally sold @.94
net credit = 0.74
Holding the 124/130/136 butterfly for .60 debit
this is giving my portfolio some positive deltas.

1/23/08
stc -1 butterfly DIA FEB 124/130/136 CALL @.91 (mark 118.50)
originall bot @1.34
loss for (1) contract = -.43

2/05/08
stc -1 butterfly DIA @1.70
originally bot @1.34
net credit = .36

Total position (1vertical and 2butterflys yeilds a +0.67 credit or 14% return on 4.74 margin