This morning I BTC 2 AMZN Jul08 80 Puts and STO 2 AMZN Oct08 75 Puts for a net deposit of $291.01 in an IRA account.  My basis on AMZN would now be $61.49 if put to me at 75.

Rolling out and down generated the additional cash and reduced my potential liability by $1000.

I thought last week my that my AMZN Jul08 80 would probably expire worthless but that idea didn’t last long.  AMZN might still recover above 80 but I am not so sure today.  In any case, with the current market I am looking at minimizing current exposure by rolling out those stocks that I would prefer not to own right now.  Where possible I will be looking at selling a future Put and a lower strike price than my current holding.