Pull a chain, or type the ticket.
Live stock and options, then 18/20% stops, a technical cushion, and a target — longs, debit, or credit verticals. Credit mode edits Technical % and 75% profit; stock is derived. Default size is one contract.
Scan
Pull the stock, then pick a contract by DTE and strike. Spreads: tap two strikes — sold/bought is assigned from the structure. Cboe delayed — verify in Thinkorswim.
Enter a ticker and hit Chain. Hold starts in the 90–150 window; tap Scalp for 0DTE or a few days out.
Contract
Contracts
Same expiry · credit stops use Technical %
Market
From Scan or typed
Bought (wing)
Mid 16.67
Absolute · from chain or TOS
Want > 100
Sold
Mid 19.60
Want > 100
Bull Put Credit Spread · LLY 1130/1120
1 contract · credit $405 · width $10.00
Stops & Target
18/20 are option-price stops (spread getting more expensive). Technical is an adjustable % of the credit; stock is derived. Target default 75% of credit. Tightest dollar risk is 18% fixed.
| Level | Option | Stock | % of P | P/L | R:R | Trigger (STP) | Suggested Limit |
|---|---|---|---|---|---|---|---|
18% fixedtightest | $4.78 | $1,156.39 | −18% | −$73 | 4.16R | $4.78 | $4.95 |
20% fixed | $4.86 | $1,153.22 | −20% | −$81 | 3.75R | $4.86 | $5.05 |
Technical % | $4.82 | $1,154.80 | −19% | −$77 | 3.95R | $4.82 | $5.00 |
Profit take % | $1.01 | $1,305.99 | +75% | +$304 | — | — | $1.01 Limit |
Delta target | $1.62 | $1,281.79 | +60% | +$243 | — | — | $1.62 Limit |
You sold this. Profit = spread gets cheaper. Stop = spread gets more expensive. Stock column is T+0 delta estimate, not expiration. Full credit at expiration if underlying is on the correct side of the short strike.
Trade Assessment
Bull Put Credit Spread · 1× LLY 1130/1120 Put credit · 18 DTE
You SOLD the 1130/1120 package at $4.05
Cost to buy the spread back (debit)
Forget that these are puts or calls. You sold a box at $4.05. Left of $4.05 on this line = winning. Right of $4.05 = losing. $1.01 target is profit because it is cheaper than the fill. $4.78 stop is a stop because it is more expensive than the fill.
P/L $ = ($4.05 − buyback) × 100 × 1
You are short the SPREAD. The OCO watches short mark − long mark.
| Buyback | Versus fill | Result | OCO |
|---|---|---|---|
| $0.00 | $4.05 cheaper | +$405 | Expiration, LLY ≥ 1130 |
| $1.01 | $3.04 cheaper | +$304 | Limit (profit) |
| $2.93 | $1.12 cheaper | +$112 | Current mark |
| $4.05 | even | $0 | Fill |
| $4.78 | $0.73 richer | −$73 | STP |
| $4.95 | $0.90 richer | −$90 | LMT |
| $10.00 | $5.95 richer | −$595 | Expiration, LLY ≤ 1120 |
1. Strategy identification
Bull Put Credit Spread — 1× LLY 1130/1120 Put credit · 18 DTE, Net credit $405.
2. Key numbers
| Max Profit | +$243 at delta target (+$405 defined) |
|---|---|
| Max Loss | −$595 defined · −$73 at 18% fixed |
| Breakeven | $1,125.95 (short strike − credit; 59.41 pts below spot) |
| Return on Risk / Return on Capital | 4.16R managed (18% fixed vs target) · 0.68R defined (max profit / max loss) |
| OTM / ITM cushion (points and %) | ITM vs short strike: 55.36 pts · 4.7% of spot |
| Distance to max loss (points and %) | 28.97 pts (2.4%) to 18% fixed · defined max at width |
| DTE | 18 · short of 90d preference |
| Premium as % of underlying | $4.05 net · 40.5% of $10.00 width · FLAG rich (>40%) · 0.3% of spot |
3. Price action / technical context
LLY last $1,185.36 vs 1130/1120 Put credit — ITM vs short strike: 55.36 pts · 4.7% of spot. Technical invalidation at $1,154.82. Delta target at $1,281.79. Quotes are CBOE delayed. This desk has no tape or candles — confirm trend, VWAP, and those levels in Thinkorswim before sending.
4. Trade assessment
Pros
- Defined risk: max loss −$595, max profit +$405.
- Collecting 40.5% of a $10.00 wide short put.
- Thinner of the two legs is above 100 OI.
- Great net spread (overhead 4.1%) — work mid.
- Managed R:R 4.16R using 18% fixed vs the delta target.
Cons / risks
- Credit: you are short the closer strike. A test of that strike is the trade going wrong, even if max loss is defined.
- Short strike is already ITM — this is a repair/assignment-risk credit, not a quiet OTM premium sale.
- DTE 18 is inside 90 days. Time decay is faster than the hold-style stop model assumes.
- Absolute-delta path ignores theta and vega. A slow grind to the stop can lose more than the table shows.
- Credit is 41% of width — rich; the short is close enough to get tested.
Overall
Bull Put Credit Spread on LLY: Defined-risk credit with issues (credit vertical (not the ITM long template); rich credit / width; DTE under 90). It makes sense if you will buy the spread back at 18% fixed and take the delta target — not if you plan to sit through a test of 1130 hoping for expiry. Invalidate if LLY last ≤ the 18% derived stock ($1,156.39) without buying the spread back, or if the short strike is tested with no plan.
5. Practical notes
- Position size is 1 contract (desk default is 1) for a net credit $405.
- Buy back at the 75% profit Limit $1.01 (delta-target alt $1.62). Cut at 18% fixed: STP $4.78 / LMT $4.95.
- Credit management: honor the 18% STOPLIMIT or the stock-condition Limit. Do not let an 18/20% mark-up run to full width hoping for expiry.
- Verify live quotes, Greeks, open interest, and fills in Thinkorswim before sending. CBOE prints here are delayed.
Credit management
1. Expiration vs T+0
Full credit at expiration if LLY finishes ≥ the short strike 1130. The stock column is same-day (T+0) management only — it is not the expiration picture.
2. What hits the account if the 18% stop fills
| Open (sold at $4.05) | +$405 |
|---|---|
| Close (buy at 18% stop $4.78) | −$478 |
| Net | −$73 + fees |
| BP hold (max loss) | −$595 released |
If the fill is the Suggested Limit $4.95 instead of STP, net is −$90 before fees.
3. OCO — stop + profit target together
These prices are the dots on the spread price map above. TOS · qty 1: Monitor → highlight both legs → Create closing order → Buy 1 Vertical. Advanced = OCO → right-click → Create duplicate order. Both GTC.
- Order A — take profit (same for both stop styles): Limit at $1.01 (+75% of credit). Alternate delta-target Limit $1.62 (+60%).
- Order B — STOPLIMIT on the spread: type STOPLIMIT. 18% STP $4.78 / LMT $4.95. Also 20% STP $4.86 / LMT $5.05. Technical 19% STP $4.82 / LMT $5.00. Trigger is usually the vertical mark.
- Order B — stock-condition stop: type Limit (not Stop Limit) at the 18% Suggested Limit $4.95. Order Rules → submit if LLY last ≤ $1,156.39. Also 20% ≤ $1,153.22. Technical 19% ≤ $1,154.80. Do not stack STOPLIMIT on top of the stock condition.
4. Two things that bite people
- Stop Limit can miss on a gap (STP hits, LMT never trades, you stay in). Stock-condition + Market gets out and accepts slippage.
- Vertical marks can whip; a premium stop can fire on a wide quote with little stock movement. Stock-condition follows the underlying instead.
- Credit is 41% of width — rich; the short is close enough to get tested.
Delta Path
Linear Δ approximation of mark vs stock. Marks: entry, 18% stop, technical, target.
Method
You sold this. Profit = spread gets cheaper. Stop = spread gets more expensive. Stock column is T+0 delta estimate, not expiration. Full credit at expiration if underlying is on the correct side of the short strike. Credit vertical: 18/20% is the spread mark rising against you. Max loss is width minus credit. Verify quotes and Greeks in Thinkorswim before sending.
- Credit stops
- Stop = P×(1+r) · you buy back higher
LMT = nickel-up(STP + 0.15)
Bull put S = S − (ΔP / |Δ|)
Bear call S = S + (ΔP / |Δ|) - Credit targets
- Target = P×(1−k) · 75% default
Delta target = 60% of credit
Limit only, no STP
Time decay ignored