SPY @jeffcp66 style for small accounts.
Finally cleared out the trades from the small account and can start the SPY experiment. Credit spreads and iron condors with the goal of doubling the account in a year. Only $7100 so works out to needing to bring in about $140 and change per week and control losses.
Here’s the plan. Sell weekly SPY credit spreads or iron condors. Probably leg into them using my charting tools. Short call/put at 16 delta 21-28 DTE, long call/put 3-5 points higher/lower. Only 3-5 contracts given the size of the account. Each week add a new spread. As the expiring ones lose value close or roll them or if really looks like it will finish OTM then let expire.
Anything gets in trouble will try to roll like @jeffcp66, back ratio if there is enough time left, or convert to short term diagonal/calendar if needed by buying an option 1-2 months out. Other option is just set a stop loss, short goes ITM close at twice what took in and close/scratch it.
Looking at 21 DTE in am at 259/255 put spread and 270/274 call spread for 0.25-0.26 each side. 5 contracts brings in $255 with max risk of $2000. Will see where we open, if we bounce just open put side, if down overnight call side. Then add other side at next reversal.
By 12/29 should be close to max profit and ready to roll. See below.
Got filled on this earlier but didn’t see until now.
Sold $HES May 18 2018 35 puts @ 1.10 with the stock at 42.41.
$SPX down 10.82 and $UVXY just doesn’t care
$SPX STO 12/22 2685/2660 BECS @ 7.80 Thank you @jeffcp66
$EXAS BTC 12/15 55 put @ 3.30 STO 12/29 55.50 put @ 4.06
#Earnings – Risk 90 to make 410. Going slightly bullish due to lack of dollar wide strikes. 5 wide with a 6.70 expected move.
Sold ADBE DEC 22 2017 172.5/177.5/182.5 Iron Fly @ 4.10
#Coveredcalls STO Dec 29 $125 calls @ $0.80, BTC Dec 15 $128 calls @ $0.02
#SPXcampaign So my mental stop on this spread was 2655. When we hit that I put in a low bid to close and was set to watch for a bounce. Then if we start moving higher, I keep lowering the bid to hopefully exit on a bounce. So we spent about 25 minutes near the lows, and my bid was 7.20. I stepped into the kitchen and it filled on the first minor pop. Now it’s trading for 6.50 on what may be the bounce. It’s the peril of riding ATM spreads so close to expiration.
Closed $SPX Dec 15th 2660/2635 put spreads for 7.20. Sold for 3.70.
#CondorRoll Sold Dec 26th 2620/2645/2695/2720 condors for 6.65
$SPX BTC 12/15 2665/2640 BECS @ 17.00 STO @ 1.90 Current bid 14.50
$SPX BTC 12/222680/2655 BECS @ 8.50 STO @ 1.60 Current bid 8.60
#Markets Marco Rubio is a reported “no” on the current plan. Mike Lee is undecided. If that’s what’s driving us down today, I say BTFD.
I wanted to put on a QQQ #ButterflyHedge. So I looked at two setups in January. First I checked the lower expected move for Jan expiration and it’s around 149. So I set up a 153/149/142 broken fly, only .25 cents. Positive theta, a nice amount of negative delta, but NEGATIVE VEGA, and downside risk if the fly is blown. When you are already looking for a down move, the negative vega on a hedge fly will fight you all the way. Time is your only friend at that point, and in a crash, your friend moves slowly.
2nd setup: 153/146/142. 3x the cost of the first one, but I have 158 negative delta, theta is -5, but vega is now positive 55. In a down move with volatility expanding this will come in much more quickly I think than the first setup.
Hedges–usually wasted money. But I just really want a little something extra on going into the new year. Best to do it while vol is low. So I’m in 153/146/142 for .75 debit. I can sell some shorter-dated put spreads against this if I want.
Looking forward to comments!
BTC MGM Dec15’17 33 calls for 0.24, these were a roll I sold for 1.02 several weeks back. STO Dec22’17 33.5 calls for 0.23.
STO January 19, 75 put @1.04
STO January 12, 75 put @.75
$MU STO 12/22 42 put @ 1.70 Earnings next week
STO July 190 put @ 4.92 on 1 contract.
Rolled out Dec 15 $26 call to Jan 05 $28 Call for 0.05cr. Basis is $25.85 so solidly in the black.
#SPXcampaign I’m still believing we get a combination Santa-Claus/Tax-reform rally, as Republicans look closer than ever to meeting their Christmas deadline. However, the failure on the upside warning firing has definitely come through, as the rally was immediately halted and now we are wavering. As I cleared all call spreads and am short only put spreads, my risk is too lopsided, so I had to #ReverseRoll at least one of them.
Closed $SPX Dec 18th 2660/2635 put spreads for 5.50. Sold yesterday for 3.65.
Sold $SPX Dec 22nd 2670/2695 call spreads for 5.55.
My bet is on a bounce into tomorrow’s quadruple witching expiration and then higher next week. But this hedges me some if we go lower instead.
#ShortPuts #IRA – Cue up the chicken! I may look crazy closing some of these but there’s a couple reasons I do it. It all goes back to a golf tournament a couple years ago. Had sketchy cell phone service and late for Thursday tee time. Glanced at my phone and managed to see a short REGN call worth a dime prior to the open. Blew it off and an hour later up on a hill got service back and the thing was worth over 10 dollars after massive opening rally. No more for Fuzzy…
And trying to stay within my self imposed strict margin limits…
Bought to Close SVXY DEC 15 2017 90.0 Put @ .04 (sold for 2.46)
Thurs. trades. My usual day off so usually my biggest trading day.
Lots of recovery with GILD, WDC and SWKS so the losses finally exceeded the theta this week ($3321 for the week so not as bad as it could have been and mostly contained to 1 account).
GILD Rolled 1 DTE 77.5 put to Jan 19 for 1.03 credit. Sold for 5.4 off previous rolls
GILD Rolled 8DTE 78 put to 43 DTE 78 put for 0.72 credit, sold for 7.88 off previous rolls.
SWKS BTO 6 Jan 2020 100 puts for 21.70 to cover the short 102 and 104 puts. Did not really want to do this, but margin call was getting close and this allows me to stay in some other trades that are/will be profitable. Now have 108 weeks to sell against it #fuzzybear style.
BTC SVXY 100 put tomorrow for 0.09, sold for 1.47. Tried to roll it but tradestation seems to be having a few order issues today. Then it would not let me sell next cycle, they do not update real time like TOS. Try again tomorrow.
105 put tomorrow out to 22 DTE for 1.58 credit. Sold for 4.45
STO Jan 26 70 put for 0.92
Next week 80 put rolled to Jan for 1.00 and sold for 1.35
105 tomorrow rolled 15 DTE for 0.9 credit. Sold for 4.45
SWKS trying to put in a double bottom at major support level.
Now going to burn off the burrito lunch on a mt bike. Have a good rest of the week!
#SyntheticStock – Another week…I’ll keep the position even though Dan over at OMM is shorting anything in site tech related that’s broken down. He could be right if these dead cat bounces roll over.
Bought to Close BIDU DEC 15 2017 240.0 Calls @ .05 (sold for 4.85)
Sold BIDU DEC 29 2017 237.5 Calls @ 1.55
EDIT…of course he’s buying TSLA calls today after the stock fired out of a daily squeeze four days ago and is up 15 percent in a week. It could very well work too but not my cup ‘a tea…
#SyntheticStock – Another week…
Bought to Close EWZ DEC 15 2017 39.5 Calls @ .06 (sold for .72)
Sold EWZ DEC 29 2017 39.5 Calls @ .33
$HES BTC 12/15 45 put @ 2.52 STO 12/22 45.5 put @ 3.04
#RocketManHedge #FuzzyBear – This is my first one that expires in Jan. Gradually scaling back to slightly more conservative selling. Moving this from next Monday to Friday…
Bought to Close SPX DEC 18 2017 2625.0 Put @ .50 (sold for 5.40)
Sold SPX DEC 22 2017 2640.0 Put @ 3.70
Original position sitting at max loss of 50 points. Total premium received is now 57.70 with another month to run…
#ShortStrangles #BullPutSpreads – Taking some risk off on the bounce to resistance. Watching to re-enter possibly as #SyntheticStock …
Bought to Close WDC JAN 19 2018 85.0/80.0 Bull Put Spreads @ 2.19 (sold for 3.75)
Bought to Close WDC DEC 29 2017 82.5 Puts @ 1.33 (sold for 1.55)
$NTNX BTC 12/15 35 put @ .20 STO 11/29 @ 2.60 Thank you @smasty160
$NVDA BTC 12/15 190/200 BUPS @ 9.00 STO @ 1.80 Overstayed my trade AGAIN
$SPX BTC 1/5/2018 2730/2705 BECS @ 3.20 STO @ 1.55
$NFLX STO 12/15 195 call @ .45 1DTE
#ShortStrangles – Former earnings trade slightly underwater but not by much…replacing this week’s.
Bought to Close ADSK DEC 15 2017 109.0 Calls @ .05 (sold for 1.21)
Sold ADSK DEC 29 2017 109.0 Calls @ 1.14
#ShortStrangles – Had a strangle that became a 200.0 straddle @ 7.75 credit received. Couldn’t quite work it’s way back to even so rolling put out and down and selling weeklies against it.
Rolled NVDA DEC 15 2017 200.0 Put to JAN 12 2018 197.5 Put @ .37 credit
Bought to Close NVDA DEC 15 2017 200.0 Call @ .04 (part of the straddle sold for 4.57)
Sold NVDA DEC 22 2017 192.5 Call @ 2.05
#ShortStrangles – Slow and steady working my way back…
Bought to Close AAOI DEC 15 2017 42.5 Calls @ .05 (sold for 1.15)
Sold AAOI DEC 29 2017 41.0 Calls @ .85
Notable Earnings AMC Thurs/BMO Fri:
ADBE, COST, JBL, ORCL
SPX long call spread closed
Sold to close SPX Dec 15th 2665/2685 LONG call spreads for 5.50, bought Dec 8th for 3.00. Will be away tomorrow and did not want to chance a pull back. Thanks Jeff
STO Jan 5 $72 puts @ $0.34
#SPXcampaign Closed on GTC order:
$SPX Dec 18th 2630/2605 put spreads for .40. Sold for 8.00 last week.