Opening: ARKK March 18th 59.22 Short Put... for a 1.83 credit.
Comments: Here, I'm basically treating the deep ITM 103.22 short put as stock with the 81.22 short call making that aspect of the setup -- the 103.22P/81.22C -- functionally a March 18th 81.22 covered call. I don't want to widen the inverted strangle further by rolling down the short call, since that would be the functional equivalent of selling a call below my cost basis, which I generally don't like to do.
In essence, I'm converting this into a March 18th 59.22/81.22 covered strangle with the 103.22P standing in as my stock. I've collected a total of 22.58 in credits which makes my cost basis in my "synthetic stock" 103.22 - 22.58 or 80.64. The downside of doing this is that this makes the setup more net delta long, which will make for additional discomfort if this POS can't find a bottom somewhere.
