I've spent some time in A/H today watching the FFIV (F5 Networks) carnage unfold, as well as reviewing the RVBD (Riverbed Technology Inc) trade that I put on earlier today. My plan for putting a trade on in RVBD centered around it holding above the 38 level. Once I felt that It was doing so, I elected to sell the FEB 38 put for 2.60. I did not mind owning it at 35.5 essentially, if put the stock - for some reason. To finish off the put spread, I bought the JAN 34 put for .10c.
In reviewing the chart, I could see a rising 20 dma & 50 dma (moving average) below coming up to the price area. I felt for sure that
one of those levels would hold if something dire happened. Oops.
Now I find myself with RVBD trading just above the 33 level in A/H. Clearly I am at risk of being put that stock, but I do own that JAN put that is now ITM (in the money).
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