SPX 1dte

#SPX1dte Sold to Open $SPX Aug 14th 3290/3310-3410/3430 condors for 1.00, IV 14.1%, SPX 3373, deltas, -.06, +.07

SPX 7-dte

#SPX7dteLong Sold to close $SPX Aug 14th 3335/3315 put spreads for 1.35. Planning to close the call side today as well, but looking for a higher close.

Condors bought last Friday for 16.30. If we get a down open tomorrow this one will be flirting with the danger zone, so getting out today.

#earnings #ironcondor BIDU Sold Aug….

#earnings #ironcondor BIDU

Sold Aug. 14, 112/117/136/141 for 1.32

#tastytradefollow

Thanks for the data Jeff

VXX

Sold VXX 08/21/2020 32.50 Calls @ 0.23 with the stock at 25.60
Will replace similar calls expiring tomorrow.
Written against Sept, Oct and Nov long calls.

AMAT IC

#Earnings Same story here, looking for an average or less move, low risk. This one leans bullish because I set it when the stock was closer to 66.00. Only partial fill so far:

Sold to Open $AMAT Aug 14th 62/63-69/70 iron condors for .42

BIDU Earnings

#Earnings #JadeLizards – Playing it to the downside with breakeven at 1.5x the expected move. Small window here to get max profit. A move to the downside at the expected move would be perfect. As usual no upside risk.

Sold BIDU AUG 14 2020 116.0/120.0/122.0 Jade Lizards @ 2.05

BIDU IC

#Earnings. Sold to Open $BIDU Aug 14th 114/116-134/136 iron condors for .60. Looking for a move at the average or less.

WYNN

#ShortPuts – Just in case we wake up in the morning and Vegas and Macau are both closing again. I’m such a positive person! 🙂 🙂

Bought to Close WYNN AUG 14 2020 71.5 Put @ .02 (sold for 1.05)

SPCE

#CoveredCalls – Rolling…

Rolled SPCE AUG 14 2020 17.5 Calls to AUG 21 2020 18.0 Calls @ .11 credit

LABU again

#ShortPuts – Taking this one too…

Bought to Close LABU AUG 14 2020 50.0 Puts @ .15 (sold for 1.50)

KSS – rolling into earnings

Bought to close KSS 08/14/2020 22.00 Covered Calls / Sold KSS 08/21/2020 22.50 Covered Calls @ 0.80 Credit plus another half point on the strike.
That’s a pretty big premium with the stock at 23.0.

Also Bought to close KSS 08/14/2020 22.50 Diagonal calls / Sold 08/21/2020 24.50 Diagonal Calls @ 0.27 Credit plus a big 2 point jump in the short strike.

LABU UVXY

#ShortPuts #CoveredCalls – Booking some and getting a jump start on covered call selling…

LABU: Probably safe but I’ll take ’em early.

Bought to Close LABU AUG 21 2020 40.0 Puts @ .20 (sold for 1.39)

UVXY: Letting stock get assigned at 21.45 basis since puts aren’t very rollable now. Covering aggressively in case volatility stays low. In an IRA so have to spread it for now.

Sold UVXY AUG 21 2020 19.0/39.0 Bear Call Spreads @ 2.07

#shortputs UAL Sold Sept.18, 29…

#shortputs UAL

Sold Sept.18, 29 put for 1.00, stock at 36.

Closing LABU

Bought to close $LABU 8/21 45 puts @ .55. Sold for 1.80 on 7/28. Thanks @fuzzballl!

EWZ

KODK

EWZ Roll: I’m following along w/ @winstonthink ‘s ITM strangle leap w/ weekly straddle sales. I think you guys are calling these #diagonalbutterfly ‘s I’m rolling the weekly straddles at 50% profit.
Core Strangle Leap: Jan 2022 27 call/37 put @ $16.72. Max risk on a 1-lot is $672
Straddle 1 Aug 7 32’s sold at $1.40, covered at $.70 ($70)
Straddle 2 Aug 14 32’s sold at 1.60 covered at $.80 ($80)
Straddle 3 Aug 21 31.5’s sold at 1.50 today
Once $672 profit is realized on the straddles I will add a 2nd leap strangle. My objective is to get to a ratio sell situation where there is always more net long contracts than short, for a beneficial long vega position where all risk has been covered.

KODK….ugh rookie rookie here!
At about $35 I placed a ratio put spread/combo fly at 25/30 for 5.65 cr and a 15/10/7.5 put BWB fly for 1.25 debit. This gave me a breakeven of about 10.68. And a max loss of $5K on stock assignment with stock going to zero. Subsequently I closed the put debit component of the put ratio (30/25) for 4.85 taking 97% of available max profit.
I added a Sep 15/17.5 ATM (at the time) Call Credit spread for .88, and also added a DITM put Sep 20-strike. At this point it surely looks like a stock assignment is inevitable, so it’s about collecting as much as I can until then to lower the cost basis. These things can reverse on news, so trying to collect cash but not dig too big a hole on a reversal. This will be the classic Option Bistro game–that so many of you have mastered— to patiently and persistently work the basis. What a management team disaster on this. Queue the lawsuits!

TSLA

#ShortStrangles – It’s a long way from this new strike especially with the split boost behind it. Rolling up for more credit but still 2x outside the expected move…

Rolled TSLA SEP 18 2020 700.0 Put to SEP 18 2020 1000.0 Put @ 5.55 credit

Now 1000/2900 strangle @ 12.10

AMAT earnings analysis

#Earnings $AMAT reports tonight. Below are details on earnings one-day moves over the last 12 quarters.

May 14, 2020 AC -4.39%
Feb. 12, 2020 AC +3.05%
Nov. 14, 2019 AC +8.95% Biggest UP
Aug. 15, 2019 AC -1.12%
May 16, 2019 AC +2.49%
Feb. 14, 2019 AC -3.95%
Nov. 15, 2018 AC +1.08%
Aug. 16, 2018 AC -7.71%
May 17, 2018 AC -8.24% Biggest DOWN
Feb. 14, 2018 AC +3.89%
Nov. 16, 2017 AC -2.33%
Aug. 17, 2017 AC +2.73%

Avg (+ or -) 4.16%
Bias -0.46%, negative bias on earnings.

With stock at 125.00 the data suggests these ranges:
Based on current IV (expected move into Friday per TOS): 62.49 to 69.51 (+/- 5.3%)
Based on AVERAGE one-day move over last 12 quarters: 63.25 to 68.75
Based on MAXIMUM one-day move over last 12 Q’s (9.0%): 60.09 to 71.91
Based on DOWN max only (-8.2%): 60.56

Open to requests for other symbols.

#bups

BIDU earnings analysis

#Earnings $BIDU reports tonight. Below are details on earnings one-day moves over the last 12 quarters.

May 18, 2020 AC +2.00%
Feb. 27, 2020 AC +0.05%
Nov. 6, 2019 AC +13.51% Biggest UP
Aug. 19, 2019 AC +4.31%
May 16, 2019 AC -16.51% Biggest DOWN
Feb. 21, 2019 AC -2.70%
Oct. 30, 2018 AC +3.64%
July 31, 2018 AC -7.73%
April 26, 2018 AC +5.54%
Feb. 13, 2018 AC +4.56%
Oct. 26, 2017 AC -8.15%
July 27, 2017 AC +9.45%

Avg (+ or -) 6.51%
Bias 0.66%, positive bias on earnings.

With stock at 125.00 the data suggests these ranges:
Based on current IV (expected move into Friday per TOS): 115.84 to 134.16 (+/- 7.3%)
Based on AVERAGE one-day move over last 12 quarters: 116.86 to 133.14
Based on MAXIMUM one-day move over last 12 Q’s (16.5%): 104.36 to 145.64
Based on UP max only (+13.5%): 141.89

Open to requests for other symbols.

SPX 7-dte (or maybe 6-dte)

#SPX7dteLong Bought to Open $SPX Aug 19th 3350/3370-3380/3400 condors for 15.80, with SPX at 3378.

Is VIAC a good candidate for covered call writing?

We liked the potential VIAC represented (believe the idea came from Coveredcalladvisor.com)

  • Weekly options
  • Great dividend
  • History of stock growth
  • Good option premiums

We opened a CC position on Jun 4 with the goal of capturing the $.24 dividend (Jun 12) and the option premium. Stock quickly jumped up in price and then fell back below what we paid (blue line in chart below). After the stock price fell and our Jun 19 $24 call expired at $0 we didn’t sell additional options hoping for stock price to rebound. On Jul 14 we started selling calls again. We have done calendar rolls at the $25 strike price each Friday.

In 70 days the position has generated profits of $5,050, 21.3% or 111% annualized. Very pleased with the return on this quality stock. I think it is a great CC candidate. Plans are to continue to roll the calls and capture the upcoming dividend in Sep.

#income