BOIL….hello old friend

Skimming through some charts and noticed nat gas has been on a tear since the election. BOIL has nearly doubled since the election and is up well over 100 percent from it’s all time low. My theory is that this can’t last…as soon as “The Donald” starts relaxing some regulations on the coal industry while encouraging more fracking in areas that were previously off limits, I can’t see nat gas running back into the 6 or 7 range again. If it does…sell more BOIL…LOL

TDA has really jacked up the margin requirements on this for naked call selling so I’ll be looking out to the spring and selling pretty close to the money call spreads. Great bang for the buck with no margin worries. Also, leaving plenty of room to roll and add or roll and widen if needed.

https://www.bloomberg.com/news/articles/2016-12-07/arctic-chill-blasting-the-u-s-puts-4-natural-gas-within-reach?cmpid=socialflow-twitter-business&utm_content=business&utm_campaign=socialflow-organic&utm_source=twitter&utm_medium=social

SPX Iron condor

Adding to my position in a late fill.

STO 2300/2310 calls

STO 2100/2090 puts for a credit of 3.00

#longput followed from TT for…

#longput followed from TT for $5 IWM Dec 9 135/133 put spread.

$AVGO #ShortPuts #Earnings – Sold…

$AVGO #ShortPuts #Earnings – Sold AVGO DEC 9 2016 155.0 Puts @ 0.35 with the stock at 170.79.
These expire tomorrow.

$RH #ShortPuts #Earnings – Sold…

$RH #ShortPuts #Earnings – Sold RH Dec 9 2016 30.0 Puts @ 0.25 with the stock at 38.90.
These expire tomorrow.

My backyard — the Portland blizzard has begun…

img_4706

Maybe I’m crazy…

#LongPut #LongPutSpread I believe that tomorrow is a good day for a slight correction, especially since the price action on the daily and weekly charts is outside the BB; so, to put my money where my mouth is: I BTO Dec 12 2225/2210 BePS for $1.15 each.
I’ll risk the cost, but if I’m right, I’ll make some money tomorrow.

$UVXY #CoveredCalls – Sold UVXY…

$UVXY #CoveredCalls – Sold UVXY Dec 23 2016 18.5 Calls @ 0.12 with the stock at 9.80

RH earnings

#Earnings #ShortStrangles Sold to Open $RH Dec 9th 32/45 strangles for .90. Biggest UP move: 12.7%, Biggest DOWN move: -21.2%, Average move: 7.0%. These strikes are each 16.9% OTM. RH usually moves up on earnings; it’s drop of -21,2% last June was an outlier; it’s 2nd biggest drop was only -4.3%.

#shortputs

SPX reverse roll

#SPXcampaign #ReverseRoll Flipped this one without changing the expiration date.
Bought to close $SPX Dec 30th 2265/2290 call spreads for 7.50. Sold for 1.55 last Friday.
Sold to Open $SPX Dec 30th 2215/2190 put spreads for 5.10, using 1.5x position size.

WYNN

#FallingKnife – ? I already have a long term position managing strangles so not adding here.

EWW puts

No sense waiting 5 weeks for a dime in an #IRA

Bought to Close EWW JAN 20 2017 38.0 Puts @ .10 (sold for .80)

AVGO earnings

#Earnings STO Dec 9th 162.5 puts for 1.35. Biggest UP move: 14.7%, Biggest DOWN move: -2.2%, Average move: 6.2%. This trade is -5.0% OTM. Trade is bullish since it almost always goes up on earning, and if not it only goes a little bit down.

#shortputs

$SVXY #ShortPuts – Sold SVXY…

$SVXY #ShortPuts – Sold SVXY Dec 23 2016 63.0 Puts @ 0.35 with the stock at 86.52. Seems to be a fairly safe two week bet.

#coveredcalls UVXY buy/write Dec. 16…

#coveredcalls UVXY buy/write Dec. 16 10 covered call, .81 for the call

$SVXY

Followed modified Iceman and Ramie trade: STO Jan 19 $70 puts for $3.20, I also have a short $100 call opened yesterday.

$EWW

@fuzzballl trade continues to work.

#ira

SVXY puts

Following Iceman from Tuesday. Sold $SVXY Dec 16 68 puts @ .30.

$SVXY

#VXXGame
Nibbled a little this morning with $SVXY pulling back.
STO Dec 30 $65 puts @ $0.70
STO Jan 6 $65 puts @ $1.05
STO Jan 13 $65 put @ $1.35

Pretty short term and small. Will add if premiums improve.

SPX/VIX Divergance

Since 1990, the Vix and SPX have moved together upward for a 2 day run, 82 times..The resulting Mkt moves are about 50-50 for direction…

vix-spx-higher-table

ESRX

#FallingKnife – ?

SVXY covered calls

#CoveredCalls – Rolling out but not up. Surprised me when this filled since I left this morning it was trading for about 40 cents.

Rolled Dec 16th 74.5 calls to Dec 30th 74.5 @ 1.00 credit.

Gradually picking up a few more dollars while keeping plenty of downside protection.

$CF #CoveredCalls – Sold CF…

$CF #CoveredCalls – Sold CF JAN 13 2017 35.0 Calls @ 0.33. Overwriting stock with a cost of 32.50

$CVS #ShortPuts – Sold CVS…

$CVS #ShortPuts – Sold CVS Dec 30 2016 75.0 Puts @ 0.35 with the stock at 80.08. Paired with short Calls.

The stock has collapsed since the trade so they could be sold much higher now.

$UVXY #CoveredCalls – Sold UVXY…

$UVXY #CoveredCalls – Sold UVXY Dec 16 2016 15.5 Calls @ 0.12 with the stock at 9.87.
Up 50% in a week?? I don’t think so!!

$ILMN #ShortPuts #FallingKnife – Sold…

$ILMN #ShortPuts #FallingKnife – Sold 1 ILMN Jan 20 2017 100.0 Put @ 1.05

SPX calls rolled

#SPXcampaign Bought to close $SPX Dec 15th 2245/2270 call spreads for 10.10. Sold as part of a #CondorRoll for 5.15 on Nov 23rd.
Rolled: Sold to Open $SPX Dec 23rd 2200/2225/2290/2315 iron condors for 7.70, with 1.25x position size.

$VIX $VXX $SVXY $UVXY

Tagging on to what Iceman mentioned yesterday. $SPX is up actually quite nicely again today but $SVXY down $2. Given the significant contango in the VIX futures which should be driving $SVXY higher it certainly marks a divergence. If you look at a intraday chart of the $UVXY and $SPX, they are in lock step. The higher $SPX goes, the higher $UVXY goes. It seems like with the market just seemingly going straight up every day people are starting to get fearful so they are paying up for protection. That’s all I can think of.

VIX continuing to rise as SPX rises

Could it be people are so happy about profits, but also scared that it could all get destroyed quickly? Too they’re buying puts en masse?

Jeff – u r right…wrong…

Jeff – u r right…wrong strikes on the call side. SPX Jan6 2350/2375/2140/2115 for 2.10 cr. Thanks for the help.

SPX call spreads closed

#SPXcampaign
BTC Dec 23 2265/2290 call spreads @ 4.35 sold Nov 23 @ 1.40. Will wait for bullish momo to subside, or not, before rolling…

$SVXY #shortcalls #volatility rolled my…

$SVXY #shortcalls #volatility
rolled my Dec 16 70/105 call spread to naked Jan 19 $100 for $1 credit. $12 loss to make up. Other half of spread covered so will let it call away my shares.

TLT calls

#ShortCalls – Getting a jump on next week. This week’s 102.5’s appear pretty safe. Still selling against DITM puts. This could go on for years. I’ll continue lowering the basis in the puts until we see a reversal.

Sold TLT DEC 16 2016 120.5 Calls @ .61

LULU earnings

#Earnings – Yesterday sold 56/59/62 iron flies @ 2.60 risking 40 to make 260. Obviously not gonna work so:

Bought to Close LULU DEC 9 2016 59/62 Bear call spreads @ 2.95

Saved a nickel so max loss is now .35

Then:

Sold LULU DEC 9 2016 68.0 Puts @ .46

If these expire should be a scratch or slight winner after commissions.

SPX roll sold

#SPXcampaign #CondorRoll
Yesterday, I stopped the Dec 23rd 2260/2285 call spreads for 5.35. Today, I rolled:
Sold to open $SPX Dec 30th 2135/2160/2295/2320 iron condors for 3.80, with 1.5x position size.

#spxcampaign Expired Full Profit $SPX…

#spxcampaign
Expired Full Profit
$SPX 12/7 2150/2175 BUPS

Assigned
$SPX 12/7 2265/2240 @ 1.35 Sold for 1.00 Must learn to close early

Closing LULU

Closed out rolled positions profitably on the recovery this morning:
Bought to close $LULU Dec 16 65 puts @ .45 (sold for 7.70 on 10/28, overall profit 1.51)
Bought to close $LULU Dec 16 70 puts @ 1.65 (sold for 13.22 on 10/21, overall profit .60)
I also sold my stock at 70.62 which I acquired on assignment at a cost basis of 68.68.
This was a big loser on the books for a couple of months. Glad to be out of it.

#earnings LULU In September I…

#earnings LULU In September I was assigned 100 shares of LULU at 70, sold calls and puts and watched it go into the 50s. Yesterday I closed a call just in case it went up after earnings. Christmas came early and I sold today at 71.19. My adult children may receive presents after all.

Puts expired, puts closed

#SPXcampaign #OptionsExpiration
Expired last night: $SPX Dec 7th 2175/2150 put spreads, sold for 2.70 on Nov 30th.
After this morning’s bell: Bought to close $SPX Dec 23rd 2085/2060 put spreads for .20. Sold for 1.40 on Nov 22nd.

All- I have a SPX…

All- I have a SPX 2265/2290 Dec 30 call that is in trouble. Any advice as to how to handle is welcomed.

#SPXcampaign Jeff what criteria do…

#SPXcampaign Jeff what criteria do you set for price and time when rolling a closed out position?
As yesterday was heart stopping action with the market moving so fast, I find it difficult to know what to use for a roll out and stay relatively safe!