#Market#LEAPs Not a good end to the day… are we really surprised or freaked out by interest rates? Or is this market just not getting back through 2800 for the rest of the year? We are now in the fifth month of a market that cannot rally like we saw it do so often in 2016/2017. Stuck again in a Downside Warning that goes more up than down, but apparently means there is no follow through on rallies.
Missed fills on the bounce so got stuck selling calls near the lows. I don’t want to be stuck with short puts on this without selling calls as well.
Want some exposure to financial services and like WDAY chart. Oops! WDAY is in the software industry/tech sector. Thanks, @smasty160
WDAY 3×2 +Jul27 124/-Jun22 128 call ratio @ 17.20
Opening a BA box supercharger on today’s pullback. Support at 360 based 21 daily ema.
BTO BA Jun22 355/360 call spread @ 3.65. GTC order to sell @ 4.70
STO BA Jun22 360/355 put spread @ 1.15. GTC order to buy back @ .20
jdietz1954
11:21 am on Wednesday, June 13, 2018 Tags: Spreads
Bot 3/-2 SSO Jul27 115/Jun22 118 call/call @ 11.63
Will transform this into 5×3 ratio on a pullback after fed announcement. This is a nice trade for smaller accounts.
Muddy Waters is Short TAL Education Group (NYSE: TAL US)
Muddy Waters is short TAL Education Group. Investors might recall the dark days of 2010 and 2011, during which numerous U.S.-listed China companies went down as frauds. According to the recent documentary, the China Hustle, there were approximately 400 frauds from China listed on U.S. exchanges. Out of literally hundreds of blatant frauds, almost no company chairman did any prison time. Charlie Munger is fond of saying “Show me the incentive, and I’ll show you the outcome”. Defrauding U.S. investors from China has proven to be a “heads I win, tails you lose” proposition. So, it does not shock us when we see that TAL began fraudulently creating profits as early as FY2016. Since the beginning of FY2016, the value of Chairman Zhang’s shares have skyrocketed from $900 million to close to $7.5 billion. The prospect of becoming Bobby Axelrod rich is a powerful incentive, especially when you have no downside if caught.
Closed $TQQQ June 29th 62.5 calls for 2.15. Sold for 1.20 last Wednesday.
Sold TQQQ July 6th 59 puts for 1.25 as a partial #StrangleRoll. I will sell call side at new highs.
Stopped $SQ June 29th 63.5 call for 2.23. Sold for 1.60 last Wednesday.
Stopped $SQ July 6th 63.5 call for 2.39. Sold for 1.77 on June 5th.
Stopped $SQ July 6th 63 call for 2.49. Sold for 1.40 last month.
Sold SQ July 13th 60 puts for 1.34 and 1.40, part of a #StrangleRoll. Will sell calls at new highs.
MamaCash
8:30 am on Wednesday, June 13, 2018 Tags: Unbalanced
#SPXcampaign
Closed on GTC order: $SPX June 15th 2720/2695 put spreads for .25. Sold in a #CondorRoll for 6.70 on June 5th… call side was previously stopped.
Sold $SPX July 13th 2685/2660 put spreads for 1.60.
Hoping for a pull back after FOMC so I can roll some highly profitable trades down a few strikes for next week. Inflation running 2.7% on the raw numbers so that may mean an extra hike this year.
2 sided market would be nice and rate hikes should do it.
#supercharger Morning all. I started to put together a document of the various trades strategies being used here to help out my aging brain. Sort of a Cliff Notes of Option Bistro. I thank you in advance for your replies and taking the time from your busy days.
In the #Supercharger strategy it was mentioned that the long call should have minimal time value left. Would such an option, say 21 days to OpEx be around a 90 delta? What would be recommended methods to manage the position when things go south. And lastly is there a preferred timeframe. That looks to be 20 to 45 DTE and is obviously trader specific. Thank you again
Good Morning! Who agrees with me that the best commercial EVER was the Geico Wednesday (Hump Day!) camel?
So the #Saf-T trades are performing better than I expected, with very high degrees of protection. I have quite a lot of SPY that I had sold calls against for today, so the calls would be cleared by pre-ex-div tomorrow. They are in the money so I’m going to let the shares get called (if FOMC cooperates). Then I will clear and reset the 45-day 40-delta puts (protection is cheap again). I see that the Friday SPY puts have the dividend in them, so rather than hold shares for a div, I will sell a boatload of 1-strike ITM puts for Friday. Selling ITM puts is the same trade as a covered call, so this will be a way of getting the virtual dividend, coupled with extra premium that a call would bring in. Due to the upcoming drop in stock price on Friday for ex-div, I should get the assignment I want to re-populate the share position.
BTW, here is a pic of the price slices on my 3000 shares of SPY. Note the risk control in place on a 10% drop. A 10% market drop yields a 2% capped drop. This is great for higher yield cash storage…way higher than a CD/Money Market, but safe.
I’ll update here when my reset is complete, including the realized profit for the week on this trade.
Here’s a Hump Day remix….actually it’s a tad creepy 🙂
Options Bistro 