Hi Guys! I had ankle repair surgery last week….boy it’s been tough! Lots of pain and living on one leg! But was finally better enough this morning to add to my AAPL put ratio ladder. Adding on an up day like this….maybe not the best, but a 46 DTE expiration opened up this morning. (quick recap on my process: 1. delta 30/25 1×2 credit ratio 2. At the BE of that ratio I place a BWB (otherwise known as a venus fly or sumo fly) to extend the BE down a few more delta).
Week 1: Aug 21 345/340 1×2 credit ratio for 6.70 with a butterfly hedge
Current price: $3.375
Break even: About 319.60
Week 2 (placed today): Aug 28 372/365 1×2 credit ratio for 7.12
Butterfly hedge: 350/340/335 for .90
Break even: About $340, about 14 delta
The week one trade has realized 50% profit as of today….I’ll leave it sit a little while longer.
Options Bistro 