If you’re trading calendar spreads and wondering why you’re not getting filled, odds are you’re making one of a few rookie mistakes I see all the time.
Here’s a quick breakdown so you don’t blow your next setup just because of a bad entry.
Don’t Enter the Legs Separately
I can’t say this loud enough — never try to enter a calendar spread by legging into it.
If you’re buying the long and short puts separately, you’re doing it wrong. You need to build the entire structure on one ticket — that means sell the front-month put and buy the back-month put in a single order.
Otherwise, you’re just exposing yourself to slippage and partial fills you can’t control.
And that applies no matter what platform you’re using. You want to send the entire spread as a single transaction. That’s how you avoid bad fills and weird execution errors.
Scale Carefully and Know Your Price
If you’re not getting filled at your price, don’t just hit the button and throw in 10 contracts. Reduce the size. If 10 contracts won’t fill at 57 cents, try two. If two fills, do another two, then another. That’s how I traded it live — small bites to stay in control.
And don’t chase price higher just because the market moved a few pennies. I set my max at 58 cents, and that was it. Some people got filled at 54 or 55, which gave them extra profit cushion. But once you hit your cap, stop. Have a plan going in, and stick to it.
I’ve said this before, but it’s worth repeating — these trades are about precision. The execution matters just as much as the setup.
You can have the right idea, but if you botch the entry, you’ve already given up your edge. Stay sharp, use the tools right, and stop making the mistakes that market makers love to take advantage of.
Kane Shieh
Kane Shieh Trading
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*This is for informational and educational purposes only. There is inherent risk in trading, so trade at your own risk.
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