Yo Pit Crazies,

If you want to trade like George Soros, you need deep pockets and know-how to trade a position.

That happens to be something we teach in Option Pit Mentoring every week.

Mr. Soros bought a lot of SPX Feb. 24 4,050 puts for next week . Normally traders buy puts to sell them at higher prices later. 

Those puts were trading at $36.00 midday on Friday.

But is that the whole story?

SPX Puts Could Be Hedging Longs

George Soros is no dummy.

The puts buy him some short term protection that he can then turn into dollars if the market crashes out for real.

I agree with Licia Leslie that it is unlikely … but a short-term short can help protect and set up a long-term long.

That is what trading market neutral strategies can be.

Take the short-term gains on a short-delta and look for the longer-term, huge gains on the long-term deltas.

To Your Trading Success,

AG