ZZZZZ….. this market is putting me to sleep
STO SPX 2030/2020 This Fri .75 to complete IC
#VXXGame – Volatility-products + prayer
$SVXY just isn’t performing well. $VIXY is about 4% above where it was a couple weeks ago but $SVXY is about 10% below where it was. $VIX term structure has a nice contango going on ( >5%) but $SVXY still can’t manage to get out of it’s own way.
I have the fewest open put positions that I’ve had in years. In the past with $SVXY this low, we would have been piling on the short puts in the out month’s bringing in big premium. But with the way it is performing, I really haven’t been too tempted to do that. I know Fuzzball has continued to sell some, but for the most part, I think we have been just continuing to let open positions burn off. I really have all the shares I want right now. If I had none, I’d be more aggressive on the put selling myself. I was selling weekly puts about 8 trading days out and 8 to 10 points OTM but that premium has somewhat dried up so not as good a risk/reward.
$UVXY is only 10% above all time low, $SVXY is 40% below all time high.
Just too much uncertainty for me to be adding $SVXY exposure, sticking to $UVXY when opportunities present themselves. Fed coming up. Don’t know what will happen after year end chase for performance gets behind us. Etc…
#VXXGame STO $UVXY Dec 11th 23 puts for .65. These will replace the 23 puts I have for this Friday, which should expire. Volatility has been in consolidation with the indices, and I expect that to continue. If it doesn’t, these are easy to roll.
#EarningsScalp – Haven’t decided yet but both have earnings later this week. I’ll be watching for now and see what’s available later this week.
Now will add put side