This looks like Déjà Vu all over again. You just told us about bailing for a loss on a similar position upon the slide last week. Why not consider wrapping this Christmas Dollarmite in Pampers so if you S$$T again, upon another #$%$ crash, you won't make a mess....sorry.
Here is how. Just add a long leg buffer. You can still get the Dec 31/30 Spread for .50 credit. So multiply your present Short position by 3, and you retain your 1.50 credit, and secure your position down to 30.50(BE), and have a maximum .50/spread loss, @ 30.00 or lower.
Granted your BE with your current position( on the Puts) is 31.00 - 1.44 or 29.56, but you covered last time at about the same PPS, right? This position, I am describing, saves you being in that uncertain position, wondering if we'll go to 15 and stay there.
So just grab as many Long legs(30's) as you have Short Puts, and then grab additional spreads until you have the same credit, as you now have. For best results you need to hold the spread to either EX or OPEX.
I've got a little more confidence in the future. The post-election panic is out of play, and chunks of the fiscal cliff are having stair-steps cut into them. So dips like today I read as noise, not the start of secular damage. The remainder of my margin headroom is for similar plays in MTGE and TWO, and piling up risk elements will make it harder to react when the exdiv and opex lie close together.
yup. just broke even for the quarter on options. made quite a bit trading shares and on the div, though. and the options were absolutely horrid-looking before things turned up. so getting back to parity on the options is actually a bonus.