#fuzzyhotair #putratioladder AAPL put ratio…

#fuzzyhotair
#putratioladder

AAPL put ratio ladder, week 4
(1×2 credit ratios, 30 delta/25 delta, with a BWB hedge to extend downside)

Week 1: CLOSED
Aug 21 345/340 sold 6.70, bought 2.32
Wish I hadn’t closed this, the breakeven was super far away…should have let more juice drain off until 20 DTE (right after these words were published AAPL dropped from $400+ to the 360’s on anti-competitive news reports, so closing was a good move in hindsight)

Week 2: Still open
Aug 28 372.5/365 sold 7.12, put fly hedge 350/340/335 .90
Breakeven $340

Week 3: Still open
Sep 4 360/355 sold 6.05, put fly hedge bought 345/335/330 for .93
Breakeven: $335

Week 4: opened using earnings volatility (earnings are tonight)
Sep 11 360/355 put ratio sold 6.10, put fly hedge bought 345/335/330 for .99
Breakeven $335

I make a practice of always having cash available for assignment on these, so about 3 rungs is the most I can have on this ladder right now. The week 2 position is down to 29 DTE….it is profitable now. Barring any disaster tonight I might be able to close it tomorrow. Though the positions are all staggered by date, they ARE clustered around breakeven. It would be better I think for more breakeven diversification….but the markets have been in some consolidation.