Directional tweak to #pietrades. Less adjusting, faster and larger profits. Not going full directional but I am using a 4 hour chart with all my technical indicators to improve the probability of the trade working out. 4 hour charts seem to predict the next week expiration fairly well.
Example below is of IBB. I sold the 104.5 put for 1.15 on Friday. If you notice, it was coming off support and had just signaled a buy signal, confirmed on 3 indicators. Not that they can’t be wrong but they are fairly accurate. Perfect time for a close to the money or even ITM put sale. In retrespect I should have sold ATM.
The second chart is MAR which I sold a put on today. Normally a chart like this I would sell an ITM CC with the expectation that it would pull back. I could then roll the call to the next week for additional income. Today I had exactly 8 minutes for lunch and it was quicker to sell the put. So my logic is that it will pull back a few points but looking ahead to next week if assigned at 139 = 137.90 cost basis, I can immediately sell the 138 call for 1.75-1.9 for 4 DTE or 2.35-2.55 for 11 DTE to gain additional cash and dropping cost basis another 1-2 points. Sometimes by looking a week or 2 ahead you can see in advance how to manage the trade if it ends up ITM. My hip is to be just barely assigned, then roll to CC until called away. Then rinse and repeat.