AMAT AMBA DUST and scaling in

#LongCalls #LEAPS – Something I’ve started doing on these longer term positions is really working nicely. I’m setting the initial position after a pullback (or run up for short positions) and only starting with about a half position. This allows nice gains if my timing is perfect (ya right! LOL) but more importantly it allows a nice averaging down into the full position and drastically reducing the cost basis (in addition to the weekly selling).

Added another AMAT today:

Bought AMAT JAN 17 2020 50.0 Call @ 2.43

I’ve added 3 times now. Original half position at 7.70 and adds at 2.55, 2.55, and 2.43 reducing basis to 5.75 overall. Weekly sales have further reduced this to 4.12 with the position out to 2020. LEAPS are trading at 2.40 now so slightly underwater but not nearly as bad as it would be had I gone all in from the beginning.

AMBA is an even better example. Original position at 11.20 with adds at 11.00 twice to get to a half position. Added the other half after the implosion at 5.20 and 3.40.

New basis is 7.44 with weekly sales reducing that to 3.93. The LEAPS are trading at 4.65 so the position is actually profitable in spite of over a 30 percent selloff since starting the trade. What really helped was piling into my full position on the big earnings drop on Aug 31st. Actually caught the bottom there so a big help.

Same thing with the DUST short position. Started at 14.50 with adds at 14.20, 14.00, 13.49, and 12.50 getting to only an 80 percent position but the trade is nicely profitable already.

Options Expiration

#OptionsExpiration – Had a few this week…

AMBA 39 Calls (sold for .70)
EWZ 35 Calls (sold for .46)
LABU 98.5 Calls (sold for 2.10)
PYPL 88.5 Calls (sold for .75)
SMH 106.5 Calls (sold for .77)
XBI 97.5 Calls (sold for .80)

PYPL SMH

#LongCalls #LEAPS – Finally got part of the PYPL weeklies to expire and all of SMH with a nickel to spare…LOL Replacing SMH with a lower ratio and rolling the rest of PYPL.

Rolled PYPL SEP 28 2018 87.0 Calls to OCT 12 2018 88.5 Calls @ .20 credit

Sold SMH OCT 12 2018 108.0 Calls @ .85

SPX Campaign / DTEA AMZN Short Puts / MTN Short Calls

#spxcampaign
$SPX STO 10/12 2825/2850/2985/2960 IC for 4.10 Thank you @jeffcp66

#shortputs
$DTEA STO 11/16 5 put at 2.70 Downside not that far down
$AMZN STO 1700/1720 BUPS at 1.90 Thank you @jdietz1954

#shortcalls
Closed Early
$MTN BTC 10/19 310 calls at .10 STO at .90 Earnings looked good but street freezing the stock out

Options Expiration for 9/28

$CAT 130/120 bull put spread
$DUST 49 calls
$SPXW 2930/2950 bear call spread

That’s it for this week. Have a relaxing weekend.

Expiration 9/28

XLV… 1/-2/-1/2… 92/91.5/90.5/89.5 PUT/PUT/PUT/PUT….BTO 8/30 @-.35 #lophir
Thanks @kathycon

SPexcel

$SPX just finished its best quarter since 2013. It didn’t really feel like that.

“For the quarter, the S&P 500 rose 7.2 percent, its best quarterly gain since fourth quarter 2013. The Nasdaq also notched a 7.1 percent quarterly gain, its best since first quarter 2017. The Dow outperformed in the third quarter, rising 9.3 percent.”

https://www.cnbc.com/2018/09/28/us-markets-political-turmoil-and-data-take-center-stage.html