Not Every Trade Goes Smoothly – But This One Still Paid | SPX Market Analysis 10 Feb 2025

The Setup – Aiming for Range Highs
As we discussed in daily analysis and Fast Forward Live Calls, the plan was simple:

• Buy at range lows
• Target the range highs

This worked… mostly. But then, things got interesting.

 

The Quick Turnaround – A Challenge

• The bearish setup came in fast
• My usual break-even or better exit wasn’t available ❌
• With time still on the clock, I adjusted my approach

 

The Solution – Playing It Smart

Instead of rushing out of the trade, I:
✅ Placed a bearish trade to hedge risk
✅ Waited for a better exit on my bullish positions – Theta decay is my friend!
✅ Used the flexibility of income trading to let the trade breathe

 

The Results – Turning a Tricky Trade into Profits

• Collected $2.60 x 3 (for each entry)
• Trade 1 closed at $1.85 → 58.8% gain
• Trade 2 closed at $2.35 → 9.6% gain
• Trade 3 closed at $2.30 → 11.5% gain

 

⚖ Why This Works in Income Trading (But Not Futures)

With SPX income trading, I only needed:
✅ 1 cent past the short strike to hit max gains
✅ No reliance on a big directional move
✅ Time to let the trade work in my favour – Theta burn baby!

 

Compare this to futures or long calls/puts—where you need big price moves or you’re out of luck. With income trading, I was able to adapt and still profit—even in a tricky situation.

 

Bottom Line?

This is why I love income trading—it gives me more control, more flexibility, and better ways to manage risk.