The following is the OptionBT sighting of    "Ride the Tiger".
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Title   :   "Ride the Tiger"      Position taken   :     October 05,2000
Position Description   :
Fourteen Months out,
50 point vertical bear put spread for debit,
the short side was out of the money,
the long side was in the money.
Expiration/Settlement    :    December 2001 / Settlement = 1147.30
Count   :                           150 pairs
Credit or (Debit)   :            ($230,625)
Margin   :                          None (Long Strike > Short Strike)
Results   :                          + $513,375

Comments   :   "Ride the Tiger"
  "Ride the Tiger" boldly sits on the back of a tiger and hopes to stay on top and not get eaten. "RT" has sensed that the market has peaked and this Bigfoot felt that within fourteen months the market would be lower. With one leg in the money and one leg out of the money, "RT" put in plenty of cash, expecting the payoff to be plenty big as well.

  There is more than confidence required when this much cash is at stake. The SPX closed at 1436 on the day of the trade (October 05,2000). If the market had risen only 14 points and stayed there, then "RT" would have been "the eaten" instead of "the eater". This BigFoot knows a top when he sees it. By the time November 2000 arrived a few weeks later, the market had begun a long painful decline and he was never really threatened. At settlement time (December 2001) his net profit (if he let the spread settle for cash) was $513,375.
Given "RT's" $230,625 initial investment, that's a double !!!

  Not everyone who chooses to "Ride the Tiger" will be glad they did, however in this case we salute "RT" for both the correct choice in selecting the direction of the market and the willingness to wager a large sum in defense of his conviction.

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