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Cc assigned required

hi everyone welcome to the video on today's video we're going to be talking about the short leg on your put credit spread being assigned and how to deal with it let's go hi everybody welcome again to the video today we're talking about your short leg being assigned as part of your put credit spread so maybe last night you received a nice little email from your broker that said hey you've been assigned on your short put out of your put credit spread now what so let's say three weeks prior we decided to come in here on to the index on the uh the diamonds and we decided to put on a little put credit spread now we thought that this uh index was going to go sideways or up so we came in here to our options chain and we sold that 340 put option right there now to protect ourselves we came down here to that 335 and we bought that 335 put for protection now we know that when we sell a credit spread to open a trade we're going to receive a credit so in this case let's say we sold this trade or two dollars in credit now to figure out the max loss we take the width of the spread which is a five dollar wide spread and we deduct the two dollars that we received in credit so our max loss would be three dollars so we take the width of that spread minus the credit that we received so in this case again our max loss would be three dollars let's talk about this little guy right here yeah this little 340 put option what do we do with that and what does that obligate us to do so let's take a look at that 340 put option all right that 340 put option obligates you to buy stock at 340 if assigned now i say if assigned because just because our option goes in the money does not mean that we're going to be assigned now so many people think that you know just because my option goes in the money by maybe 5 cents 10 cents or a dollar that i'm going to be assigned that's simply not true so there's many factors that go into play when somebody decides to exercise their options so that that should ease your mind right there just a little bit so just to look at it visually on a chart you can see our 340 put option there that we sold and then our 335 put option that we bought there for protection we're expecting this trade to go sideways or up and as long as we're above that 340 put option at expiration we're gonna continue to hold on to that two dollars that we received in credit but if we drop down below that 335 at expiration we're going to take our max loss of three dollars in...