Collar Course Recommendation

Hi Everyone! Big winter storm bearing down on us here in Denver. The last time I remember a snow on Sep 8 was about 22 years ago, I was working for a dot-com startup that went public with a billion $ and lost it all. Another thing that happened over 20 years ago was that I was a subscriber to Power Options. I know that because I purchased a course from them a couple weeks ago and had to update my address on the platform….an address over 20 years old in the pacific northwest.

So, I just love collars, and have found several different ways to structure them, as you know. But….I can’t even begin to tally up the amount of $$$ I lost on the collar ceilings in the last quarter. TSLA, AAPL, NVDA, PTON, ROKU, even JNJ. I stumbled onto “The Blueprint” course at Power Options and decided to take the plunge. It’s $339 I think. I am super enjoying the course though, well worth the money. There is so much nuance and depth to collar structures—one might think them simple, pedestrian–but there are layers and layers of beautiful complexity to them. This one (Blueprint) uses very long term (5+ months) and very DITM puts for the married put portion. (Think, a long term $120 put on a $100 stock guarantees a $120 sell price—the only risk in the position is the extrinsic above the strike. The positions start off with no ceiling limitations, just significant downside protection from a higher stock price). Then they have 12 various income methods to cover that extrinsic risk, thus yielding a “bulletproof” position. The income methods—some are obvious, but many are VERY unique in the management of this type of position. Then the course originator (Radioactive Trading, which has partnered w/ Power Options) has hours and hours of highly informative webinars that further train and explain application of the income methods.

Power Options has developed into a pretty robust scanning platform. They have a cool list for covered calls called the “7/11” list. The companies on the scan provide covered call ops with at least 7% return on assignment and at least 11% downside protection. I started using the 7/11 list for collar candidates. WKHS, posted by @honkhonk81 this week is on the list, so I put a collar on it this week.

Along w/ purchasing the Blueprint course Power Options gave me 6 weeks of free trial.

Geez, I know this sounds like an advertisement, but NO affiliation, not looking for any referral credits here….just passing along a good thing, worth the price. The Radioactive Trading site probably has free videos to review if interested.

Sue

EWZ

#DiagonalButterfly

BTC EWZ Sep 04 $30.5 call @ $1.01 (sold for $0.89);

0.5 x EWZ Sep 04 $30.5 put expired worthless (sold for @ $0.51)

0.5 x EWZ Sep 04 $30.0 put expired worthless (sold for @ $0.58)

STO EWZ Sep 11 $31 straddle @ $1.65

Cover is EWZ Jan 2022 long strangle $27 call / $37 put – which is showing a small profit.

IBB

#DiagonalButterfly

IBB @ $129.28

BTC Sep 04: $133 straddle for $5.63 (originally sold for $3.94).

STO Sep 11: $130 call @ $1.15

STO Oct 02 : $130 put @ $5.73

Cover is IBB Jan 2022 : long strangle $115 call / $150 put @ $53.74