This week …….

Expiration / Assignment

$NVAX 120 call
$LABU 40 put
$OSTK 70 put Thank you @fuzzballl
$DKNG 41 put

$T 28.50 put
$TDOC 220 put

AAL Roll / NVAX Expire

Rolled AAL Oct-09-2020 13 #CoveredCalls // Oct-23-2020 14 @0.35. (thought about letting it get assigned)

OX $NVAX Oct-09-2020 84/94 #BuPS – STO @1.22 Thanks @geewhiz112
STO $NVAX Oct-23-2020 92/102 #BuPS @1.46 (actually put limit in at 1.32 and got a little extra)


AAL 10/09/2020 14.5 Covered Call
ADS 10/09/2020 51.0 Covered Call
KSS 10/09/2020 22.0 Diagonal Calls
WBA 10/09/2020 37.50 Covered Calls
WDC 10/09/2020 40.0 Covered Calls

VXX 10/09/2020 27.0 Diagonal Call
VXX 10/09/2020 27.5 Diagonal Calls
VXX 10/09/2020 28.5 Diagonal Calls
VXX 10/09/2020 29.0 Diagonal Calls
VXX 10/09/2020 29.5 Diagonal Call
VXX 10/09/2020 30.0 Diagonal Call
VXX 10/09/2020 31.0 Diagonal Calls

WFC 10/09/2020 22.0 Diagonal Puts



Bought to close KSS 10/09/2020 21.50 Covered Calls / Sold KSS 10/16/2020 23.00 Covered Calls @ 0.04 Credit plus a 1.50 higher strike.
KSS @ 21.75

NVTA Short Put

$NVTA STO 10/16 50 put at $1.00

Econ calendar for week of 10/12/20

Screen Shot 2020-10-09 at 11.53.16 AM
Screen Shot 2020-10-09 at 11.53.16 AM

Link to calendar:

SPX trades

#SPX1dte Sold to Open $SPX Oct 12th 3380/3400-3530/3550 iron condors for 1.35, SPX 3474, IV 12%, deltas -.07,+.07

Expiring: Oct 9th 3355/3375-3495/3515 condors, sold yesterday for 1.00.

#SPX7dteLong Expiring: Oct 9th 3400/3420 calls spreads for max credit of 20.00. Condors bought for 17.05 on Monday.

ADS Roll

Bought to close ADS Oct 09 2020 49 Diagonal Calls / Sold to open ADS Oct 16 2020 53 Diagonal Calls @ 0.05 Net Credit but bumped the strike price 4 points and brought in a little cash.

Bought to close ADS Oct 09 2020 49 Covered Calls / Sold to open ADS Oct 16 2020 52.50 Covered Calls @ 0.22 Net Credit but bumped the strike price 3.50 points and brought in a little more cash.

SPY Rolls

Rolled all today’s short diagonal calls to Monday or Wednesday expirations for small credits.
Too numerous to list.

AAPL BUPS Closed / VXX Put Rolled

$AAPL BTC 10/16 95/105 BUPS at .15. STO at 1.78

$VXX BTC 10/16 24.50 put and STO 10/23 24 put at even but do reduce strike by .50.


Why is this stock still up from March?

CCL Revenue nearly evaporates
Carnival Corp. said its revenue plunged to $31 million from $6.53 billion for the August quarter, a period that saw no sailings due to the Covid-19 pandemic and the removal of older ships as the company seeks to shrink its fleet.
The cruise operator on Thursday posted a third-quarter loss of $2.86 billion , or $3.69 a share, compared with a profit of $1.78 billion , or $2.58 a share, in the same period last year. The loss was in line with the company’s preliminary results last month. Analysts polled by FactSet were expecting a loss of $2.47 a share on revenue of $77.3 million .
Carnival also posted an adjusted loss of $2.19 a share, about in line with the $2.20 a share adjusted loss analysts polled by FactSet had expected. The company reported a profit of $1.78 billion in the third quarter last year. Carnival’s third-quarter loss was slimmer than the more than $4 billion loss it posted for the second quarter.
The cruise operator is moving to shed 18 less efficient ships, 10 of which have left the fleet, Carnival said. It said those 18 ships represent about 12% of its capacity before the pandemic and 3% of operating income in 2019.
The results came as the company’s Carnival Cruise Line has canceled most U.S. cruises through the end of the year, and its Seabourn luxury line this week canceled voyages on three ships as far forward as May 2021 . Cruise operators have lost billions of dollars this year as the pandemic forced them to halt sailings, leaving them dry in revenues. They haven’t sailed in the U.S. for more than half a year. Carnival said it expects a phased resumption of sailings.
In the U.S., the Centers for Disease Control and Prevention’s “no-sail” order was recently extended to Oct. 31 from Sept. 30 , though major cruise operators including Carnival had voluntarily agreed to cancel sailings through the end of October. The cruise industry last month proposed sailing protocols to the CDC, such as reducing virus transmission through air management.
Costa Cruises , the company’s Italian brand, started sailing again on Sept. 6 after a months-long hiatus brought on by ship outbreaks. Its German brand, AIDA Cruises , is resuming sailings in mid-October.
Carnival on average burned about $770 million a month during the third quarter, and it expects to burn about $350 million a month for the current quarter. Those cash-burn rates fall in line with the $650 million average monthly burn rate for the second half of the year the company previously expected.
Carnival said advanced bookings for the second half of 2021 available for sale as of Sept. 20 were at the higher end of the historical range.
Customer deposits as of Aug. 31 were $2.4 billion , most of which are future cruise credits the company had offered customers of canceled cruises in lieu of cash refunds, compared with $2.9 billion in May. Carnival said it can’t yet estimate how much of those deposits would be recognized in earnings compared to refunds or future cruise credits due to Covid-19 uncertainty.
The company continues to expect a loss of the year ending Nov. 30 .

KSS Roll

Bought to close KSS 10/09/2020 21.0 Diagonal Calls / Sold KSS 10/16/2020 21.50 Diagonal Calls @ 0.12 Credit plus a 0.50 higher strike.
No earnings next week for this one
KSS @ 21.68

VXX Put Rolls

Buying more time – bringing in $cash

Bought to close VXX 10/09/2020 25.0 Puts / Sold VXX 10/16/2020 25.0 Puts @ 0.29 Credit
Bought to close VXX 10/09/2020 24.50 Puts / Sold VXX 10/16/2020 24.50 Puts @ 0.34 Credit
Bought to close VXX 10/09/2020 24.0 Puts / Sold VXX 10/16/2020 23.50 Puts @ 0.02 Credit plus a 0.50 lower strike
Bought to close VXX 10/09/2020 23.50 Puts / Sold VXX 10/16/2020 23.0 Puts @ 0.11 Credit plus a 0.50 lower strike.

I have lots of short VXX calls expiring today too.

Done with worrying about VXX for this week.


#ShortStrangles – Rolling up put side for additional credit…

Rolled TSLA OCT 16 2020 375.0 Put to OCT 16 2020 400.0 Put @ 2.00 credit

Now sitting at 400/480 @ 8.60


Swimming against the riptide on this one:
Bought 1 VXX Dec 18 2020 60.0 Call @ 0.63
Bought 1 VXX Dec 18 2020 50.0 Call @ 0.92

I will surely write against these several times.


#ShortPuts – Hard to find anything down today. Throwing this out there prior to the election and below the 50ma and well outside the expected move…

Sold NVDA OCT 30 2020 485.0 Put @ 3.30

Closing AMZN condor

Bought to close $AMZN 10/16 2650/2700/3500/3550 iron condor @ 2.40. Sold for 14.39 on 9/11.

#shortputs DKNG Sold Oct. 16,…

#shortputs DKNG

Sold Oct. 16, 45 put for .56, stock down again today under 49.

New Covered Call on ATEC

We like to find young medical device companies with innovative technology that we can write covered calls against. ATEC looks promising. Great revenue growth and really nice margins.

Options are monthly….not ideal but they don’t take much work.

#atec, #coveredcalls-2


#CoveredCalls – With earnings coming I think the buying power can be put to use in better ways. Taking the small loss on the covered stock. Sold stock pre-market at 17.75 (basis 18.90) and looking to close the short 18 calls for a penny or two.

Is SDC a good candidate for covered call strategy?

#sdc-2, #coveredcalls

Update on Covered Called Strategy on Steris (STE)