#SyntheticShortStock – Might be a little early but I’ll take the extra day of theta.
Bought to Close SPX Feb 23 2024 5055.0 Puts @ .55 (sold for 20.40 and 20.50)
Sold SPX Feb 26 2024 5075.0 Puts @ 5.55
Author Archives: fuzzballl
XBI
#ShortPuts – Bought to Close XBI Mar 15 2024 82.0 Puts @ .18 (sold for .80)
SPX
#SyntheticShortStock – Rolling up to the bottom of tomorrow’s expected move.
Rolled SPX Feb 23 2024 5040.0 Puts to Feb 23 2024 5055.0 Puts @ 2.30 credit (20.40 and 20.50 now)
FXI
#BullPutSpreads – Been in a lot of more active FXI positions recently. Out of all of them at even. Throwing this out there to just sit and watch. Half size so might add on a dip back closer to the 50 day. Very directional bull put spreads.
Sold FXI Aug 16 2024 30/25 Bull Put Spreads @ 3.90
PANW
#ShortPuts – Bought to Close PANW Mar 15 2024 245.0 Put @ 1.30 (sold for 3.00)
NVDA
PANW
#ShortPuts – Sold PANW Mar 15 2024 245.0 Put @ 3.00
SPX
#SyntheticShortStock – See if we get a bounce by end of week before I look further out and down.
Rolled SPX Feb 20 2024 5040.0 Puts to Feb 23 2024 5040.0 Puts @ 2.80 and 3.00 credit (18.20 and 18.10 total now)
SPX
#SyntheticShortStock – Another round.
Bought to Close SPX Feb 16 2024 5015.0 Puts @ .70 (sold for 10.70)
Sold SPX Feb 20 2024 5040.0 Puts @ 15.25
SMCI
#ShortPuts – I can’t resist…but I almost feel like I’m stepping in front of a Gamestop implosion. LOL Selling waaay down around the moving averages and nearly two times the expected move. Also prior to earnings.
Sold SMCI Apr 19 2024 360.0 Put @ 3.40
SPX
#SyntheticShortStock – Bringing these back in to the dailys and getting a little less directional.
Bought to Close SPX Feb 23 2024 5045.0 Puts @ 40.90 (Sold for 57.60 and 59.35)
Sold SPX Feb 16 2024 5015.0 Puts @ 10.70
TSLA
#SyntheticStock – Roll up and out on the bounce.
Rolled TSLA Feb 16 2024 185.0 Calls to Mar 15 2024 195.0 Calls @ 1.50 debit (3.25 total now)
TLT
#ShortPuts – One fill on some rolls.
Rolled TLT Mar 15 2024 98.0 Puts to Apr 19 2024 98.0 Puts @ .35 credit (2.00 total now)
SPX
#SyntheticShortStock – On the early bounce.
Rolled Feb 16 2024 5050.0 Puts to Feb 23 2024 5045.0 Puts @ .90 debit (57.60 and 59.35 total now)
BA
#CoveredCalls – Early assignment.
Sold BA Feb 23 2024 207.5 Calls @ 2.20
XBI
#ShortPuts – Starter.
Sold XBI Mar 15 2024 82.0 Puts @ .80
SPX
#SyntheticShortStock – Not doing any crazy rolls yet. Throw it out to Friday and see where we end up. Shorts are looking much better now. A sideways grind right here for the rest of the year works. 🙂 🙂
Rolled Feb 13 2024 5050.0 Puts to Feb 16 2024 5050.0 Puts @ .25 credit (58.50 and 60.25 total now)
SPX
#SyntheticShortStock – Keeping some slightly long deltas on the overall position with CPI tomorrow. Leaving the strike just inside tomorrow’s expected move.
Rolled SPX Feb 12 2024 5050.0 Puts to Feb 13 2024 5050.0 Puts @ 6.30 credit (58.25 and 60.00 total now)
XBI
#ShortPuts – A few more. Taking 60 percent 5 weeks early.
Bought to Close XBI Mar 15 2024 80.0 Puts @ .41 (sold for 1.12 and 1.18)
XBI
#ShortPuts – Seems like one of the few things out there with decent premium that hasn’t gone to the moon yet.
Bought to Close XBI Feb 16 2024 80.0 Puts @ .03 (sold for .47)
SPX
#SyntheticShortStock – Playing with some slightly long deltas here now. Selling just outside the upper end of Monday’s expected move. Should be interesting. Should be easy to roll since it doesn’t feel like an implosion coming yet. If nothing else, roll ’em sideways for credits while protecting the upside a little.
Rolled SPX Feb 09 2024 4985.0 Put to Feb 12 2024 5050.0 Put @ 43.30 credit (51.95 total now)
Rolled SPX Feb 09 2024 4990.0 Put to Feb 12 2024 5050.0 Put @ 42.50 credit (53.70 total now)
SPX
#SyntheticShortStock – Added 2028. Back to same position size I had before being in timeout.
SPX Synthetic Short with protective call Dec 15 2028 5000/5000/5400 @ 283.0 debit
And:
Sold SPX Feb 09 2024 4990.0 Put @ 11.20
TSLA
#SyntheticStock – Another round.
Rolled TSLA Feb 09 2024 182.5 Calls to Feb 16 2024 185.0 Calls @ .25 credit (4.75 total now)
SPX
#SyntheticShortStock – Nice unchanged day so far.
Bought to Close SPX Feb 08 2024 4975.0 Put @ .55 (sold for 7.50)
Sold SPX Feb 09 2024 4985.0 Put @ 8.65
SPX Breaking News!
#SyntheticShortStock – Fidelity is letting me back in the game. Starting with a 2027 and may add a 2028. Had to go 400 wide on the call side since no 5500s available. Costs a little more out of pocket but max loss is still similar. 310 per week to cover max loss.
SPX Synthetic Short with protective call Dec 17 2027 5000/5000/5400 @ 225.0 debit
And:
Sold SPX Feb 08 2024 4975.0 Put @ 7.50
SPX Experiment
#SyntheticShortStock #WeekendReading
I am officially in timeout with Fidelity in my IRA for the next 90 days on these types of trades. I can still do about anything else until then though. Here’s the summary of the live trades.
Two entries synthetic short stock with a protective call.
Jan 12 4800/4800/5300 @ $5100 debit (2025 expiration)
Jan 23 4900/4900/5400 @ $11600 debit (2026 expiration)
Closed all positions on the Mon Feb 5th morning dip:
$4300 credit (2026 profitable and 2025 slight loss)
Total premium for 3 weeks of daily selling:
$14700 (4900 per week avg)
So:
$19000 credit vs $16700 debit ($2300 gain total) in pretty much a straight up market.
My thoughts:
Perfect time to try these with market at lifetime highs. Max loss on each position is debit paid plus width of call spread. (55100 and 61600 in these cases) That sounds like a lot but bringing in 4900 a week max loss is covered in about 6 months with 18 months and 30 months still to run.
Super aggressive play is to add another one (2027) when max loss is covered then sell 3 a day against that to cover max loss very quickly. Then add a fourth and fifth if you want. Could possibly have four running by next fall with little risk.
Rough math for just my two positions continuing without adding anything new.
$2450 per week each in premium received.
104 weeks for first position: 254800 total premium.
156 weeks for second position: 382200 total premium.
637000 total minus max loss = 520300 net gain if max loss is hit.
How is this all margined in an IRA?
1. Max width of call spread (50000) per position in these cases.
And
2. Width of daily put sale from long LEAP put. AS THE MARKET RISES THAT REQUIREMENT WILL INCREASE.
What risks do I see?
In a down market the daily put sales will need to be rolled down. That will cause less long term premium to be booked but at least the synthetic short is rocking. I could see that being an issue near expiration if your synthetic short stock is waaay out of the money and your daily put sale is way above that. Might be better to do these at the max expiration (Dec 2029 right now) and close them about a year prior to expiration where in most cases max loss probably hasn’t been hit yet. Could still have two or three running at once all the time.
I’ll continue paper trading these and see how it goes. So far so good!
FXI
#SyntheticStock – Getting out of the way until we see where this might be going.
Bought to Close FXI Feb 16 2024 23.5 Calls @ .35 (sold for .42)
SPX
#SyntheticShortStock – Fidelity tagged me with a day trading penalty from all the roll ups I did one day last week. Really happy with how the SPX experiment has gone so far but if we don’t have a resolution from Fidelity I’m going to have to put the experiment on hold for 90 days.
If I have to close everything right now it’ll be for about a 2 grand loss. Not bad in this crazy up market almost keeping up with the rise with daily put sales. Just don’t crash until I get back in!! LOL Know for sure on Monday.
Expiring : SPX Feb 02 2024 4900.0 Puts @ 13.20 credit
TSLA
#SyntheticStock – Another round.
Bought to Close TSLA Feb 02 2024 185.0 Calls @ .25 (sold for 4.30)
Sold TSLA Feb 09 2024 182.5 Calls @ 4.50
SPX
#SyntheticShortStock – Rolling.
Rolled SPX Jan 31 2024 4905.0 Puts to Feb 02 2024 4900.0 Puts @ 3.50 credit (13.15 total now)
BA
#CoveredCalls – Out of some of my BA position for small gain.
Sold BA covered stock @ 199.70 (basis 196.70)
SPX
#SyntheticShortStock – Carrying synthetic short stock and selling puts against it. If we have a huge implosion and my puts get trapped I might want to take the profits on the synthetic short. To do that I’m adding a couple long puts while they are still cheap. That way I can book the synthetic short stock and leave the short puts and continue rolling them until they recover without them being completely naked.
Bought SPX Dec 19 2025 1000.0 Put @ 4.10
Bought SPX Dec 18 2026 1000.0 Put @ 5.00
SPX
#SyntheticShortStock – Another.
Bought to Close SPX Jan 30 2024 4900.0 Puts @ .05 (Sold for 4.45 avg.)
Sold SPX Jan 31 2024 4905.0 Puts @ 9.65
TLT
#ShortPuts – Nice bounce to help with these rolls.
Rolled TLT Feb 16 2024 97.0 Puts to Mar 15 2024 97.0 Puts @ .45 credit (1.45 total now)
Rolled TLT Feb 16 2024 98.0 Puts to Mar 15 2024 98.0 Puts @ .35 credit (1.70 total now)
Rolled TLT Feb 16 2024 99.0 Puts to Mar 15 2024 99.0 Puts @ .23 credit (1.95 toal now)
SPX Jan 29th
#SyntheticShortStock – No scalping today. Another round of put sales though.
Bought to Close SPX Jan 29 2024 4890.0 Puts @ .10 (sold for 21.05 and 48.90)
Sold SPX Jan 30 2024 4900.0 Puts @ 4.45 avg.
TSLA
#SyntheticStock – Roll down for a little more credit.
Rolled TSLA Feb 02 2024 192.5 Calls to Feb 02 2024 185.0 Calls @ 2.25 credit (4.30 total now)
XBI
#ShortPuts – March starter at the expected move and 200 day.
Sold XBI Mar 15 2024 80.0 Puts @ 1.12
SPX Jan 26th
#BearCallSpreads – Massive expiration at the 4895 level for put sales. Throwing this above it for Mr. Market to take a look at.
Sold SPX Jan 26 2024 4915/4920 Bear Call Spreads @ 1.05
BA
#CoveredCalls – Earnings Wed morning.
Bought to Close BA Jan 26 2024 207.5 Call @ .16 (sold for 3.40)
Sold BA Feb 02 2024 200.0 Call @ 8.05
TSLA
#SyntheticStock – MInimized the big selloff with the deep in the money short calls.
Bought to Close TSLA Jan 26 2023 195.0 Calls @ .23 (sold for 18.45 and 31.90)
Another round:
Sold TSLA Feb 02 2024 192.5 Calls @ 2.05
FXI
#SyntheticStock – Sold FXI Feb 16 2024 23.5 Calls @ .42
SPX Jan 25th
#BearCallSpreads – Small position. Slightly offset by 4895 short puts for tomorrow.
Sold Jan 25 2024 4905/4910 Bear Call Spreads @ 1.10
TSLA
#SyntheticStock – Haven’t posted on this one lately. Just been cruising along with front month call in the money waiting on earnings. Added to it today.
Bought TSLA Jan 16 2026 220/220/175 Synthetic Stock @ 38.00
Sold TSLA Jan 26 2023 200.0 Call @ 14.80
SPX Jan 24th
#SyntheticShortStock – A few adjustments.
Bought to Close SPX Jan 26 2024 4855.0/4805.0 Bull Put Spread @ 5.25 (sold for 14.00)
———————————-
Sold SPX Jan 24 2024 4875.0 Put @ 5.00
Rolled SPX Jan 24 2024 4875.0 Put to Jan 24 2024 4890.0 Put @ 6.20 credit (11.20 total now)
———————————-
Rolled SPX Jan 24 2024 4865.0 Put to Jan 24 2024 4890.0 Put @ 8.70 credit (38.90 total now)
SPX
#SyntheticShortStock – Added a second one another year out. 4 points per week for breakeven.
SPX Synthetic Short with protective call Dec 18 2026 4900/4900/5400 @ 116.00 debit
Sold SPX Jan 26 2024 4855.0/4805.0 Bull Put Spread @ 14.00 (I’ll be moving this to a regular short put tomorrow)
FXI
#CoveredCalls – Sold FXI Feb 02 2024 22.5 Calls @ .41
SPX Jan 23rd
#SyntheticShortStock #ShortPuts – Trying for a scalp against a 4865 short put against synthetic short stock.
Sold SPX Jan 23 2024 4870/4875 Bear Call Spreads @ 1.00
SPY
#ShortPuts – Taking 70 percent a month early.
Bought to Close SPY Feb 16 2024 460.0 Put @ .86 (sold for 3.16)
SPX Jan 22nd
#SyntheticShortStock #ShortPuts – Adding call spreads and rolling up short put for some protection.
Sold SPX Jan 22 2024 4865/4870 Bear Call Spreads @ 1.20
Rolled SPX Jan 22 2024 4855.0 Put to Jan 22 2024 4865 @ 5.95 credit (18.75 total now)
SPX
#SyntheticShortStock #ShortPuts – Small roll up.
Rolled SPX Jan 22 2024 4830.0 Put to Jan 22 2024 4855 @ 3.50 credit (12.80 total now)
FXI
#OptionsExpiration – One expired.
FXI Jan 19 2024 24.0 Calls (sold for .38)
SPX
#SyntheticShortStock #ShortPuts – Last one today.
Bought to Close SPX Jan 19 2024 4805.0 Put @ .30 (sold for 31.40)
Sold SPX Jan 22 2024 4830.0 Put @ 9.30
BA
#JadeLizards – It’s rallied back to the 200 day so selling some call spreads against short 220 puts setting up some Jade Lizards.
Sold BA Feb 16 2024 220/225 Bear Call Spreads @ 1.70 (7.00 total on each Lizard)
SPX
#SyntheticShortStock #ShortPuts – Let’s see if the old ATH can hold as support now.
Rolled SPX Jan 19 2024 4805.0 Put to Jan 19 2024 4820.0 Put @ 2.40 credit (31.40 total now)
SPX
#SyntheticShortStock #ShortPuts – Adjusting keeping the deltas fairly flat.
Rolled SPX Jan 19 2024 4790.0 Put to Jan 19 2024 4805.0 Put @ 6.10 credit (29.00 total now)
SMCI
Wow.
SPX
#SyntheticShortStock #ShortPuts – Adjusting keeping the deltas fairly flat.
Rolled SPX Jan 19 2024 4775.0 Put to Jan 19 2024 4790.0 Put @ 5.60 credit (22.90 total now)
SPX
#SyntheticShortStock #ShortPuts – Adjusting for tomorrow.
Rolled SPX Jan 19 2024 4760.0 Put to Jan 19 2024 4775.0 Put @ 5.75 credit (17.30 total now)
XBI
#ShortPuts – Adding.
Sold XBI Feb 16 2024 81.0 Puts @ .90
SPX
#SyntheticShortStock – I’ve been paper trading this for the last month and like the possibilities so finally did it for real last Friday. Didn’t post because it could be risky. It’s a long term short, selling daily (or rolling) against it. Planning to make the money on the back end since max risk is pretty easy to recover quickly….unless a massive selloff turns it very profitable I’ll try to hold it. Might eventually add a long term long to it and sell daily against both sides.
SPX Synthetic Short with protective call Dec 19 2025 4800/4800/5300 @ 51.05 debit
Sold SPX Jan 16 2024 4770.0 Put @ 9.00
Then:
Rolled SPX Jan 16 2024 4770.0 Put to Jan 17 2024 4765.0 Put @ 2.55 credit (11.55 total now)
SPY
#ShortPuts – Take a shot at the 50 day.
Sold SPY Feb 16 2024 460.0 Put @ 3.16
BA
#ShortPuts – A couple rolls.
Rolled BA Jan 19 2024 220.0 Put to Feb 16 2024 220.0 Put @ 2.35 credit (5.75 total now)
Rolled BA Jan 26 2024 220.0 Put to Feb 16 2024 220.0 Put @ 1.80 credit (4.80 total now)
BA
#ShortPuts #CoveredCalls – Early assignment on this:
Sold BA Feb 02 2024 240.0/230.0 Bull Put Spread @ 6.00
So:
Sold to Close BA Feb 02 2024 230.0 Put @ 26.10
Stock basis after assignment is 207.90 so covering it.
Sold BA Jan 26 2024 207.5 Call @ 3.40
3 point gain if called away. Earnings on the 31st so more good premium there.
BOIL
Stay warm everyone and get ready to load up on the BOIL call spread sales! LOL
According to Bloomberg, cold weather has skyrocketed spot prices at the US Henry Hub in Louisiana by 300% to as high as $17 per million British thermal units. That compared to $3.31 for the Feb NatGas contract on Friday.
The catalyst for soaring spot prices is the mounting risk of so-called freeze-offs, which can bring NatGas production offline, thus curbing supplies.
https://www.zerohedge.com/commodities/polar-blast-sends-power-prices-soaring-spot-natgas-ripping-and-risk-freeze-offs
Bitcoin
For what it’s worth…according to Sosnoff a lot of the early volume is internal trading to make themselves look good. Not all of these will survive.
XBI
#ShortPuts – Adding.
Sold XBI Feb 16 2024 82.0 Puts @ .90
BA
#BullPutSpreads – Short puts looking good so taking a more directional shot for earnings week. Might close it prior if it keeps running.
Sold BA Feb 02 2024 240.0/230.0 Bull Put Spread @ 6.00
XBI
#ShortPuts – Starter in Feb. at the 200 day. Come and get ’em!
Sold XBI Feb 16 2024 80.0 Puts @ .47
XBI
#ShortPuts – Taking them a week early.
Bought to Close XBI Jan 19 2024 82.0 Puts @ .02 (sold for .94)
Bought to Close XBI Jan 19 2024 83.0 Put @ .03 (sold for 1.14)
Bought to Close XBI Jan 19 2024 84.0 Put @ .04 (sold for 1.43)
SPY
#ShortPuts – Finishing up legging out of some bear put spreads. Closed the long side on the dip and taking the short side now on the bounce.
Bought to Close SPY Jan 17 2025 425.0 Puts @ 11.70 (sold for 14.90…which includes the gain on the long side)
SPY
#ShortPuts – Was selling these against bear put spreads. Out of those so bailing on this while I have a chance.
Bought to Close SPY Jan 12 2024 470.0 Puts @ 2.12 (sold for 1.90)
TLT
#ShortPuts – Nice bounce today so good day for some rolls.
Rolled TLT Jan 19 2024 97.5 Puts to Feb 16 2024 97.0 Puts @ .69 credit (1.29 total now)
Rolled TLT Jan 19 2024 98.0 Puts to Feb 16 2024 98.0 Puts @ .93 credit (1.65 total now)
Rolled TLT Jan 19 2024 98.5 Puts to Feb 16 2024 97.0 Puts @ even (.72 total now)
Rolled TLT Jan 19 2024 99.0 Puts to Feb 16 2024 98.0 Puts @ .18 credit (.85 total now)
Rolled TLT Jan 19 2024 99.5 Puts to Feb 16 2024 99.0 Puts @ .39 credit (1.69 total now)
BA
#ShortPuts – Couldn’t resist.
Sold BA Jan 19 2024 220.0 Put @ 3.40
MARA
#ShortPuts – Taking 60 percent a couple weeks early.
Bought to Close MARA Jan 19 2024 17.5 Puts @ .32 (sold for .82)
NOC
#SyntheticShortStock – Won’t bore you with the details. Not a big fan of the liquidity and the cheap market makers so bailed on the whole thing.
Lost .52 on two spreads.
Options Bistro 