#LongCalls #LEAPS – Still trying to work this back to even…almost there. Replacing Friday’s expiration.

Sold CELG JUN 15 2018 80.0/85.0 Bear Call Spreads @ .45

#LongCalls #LEAPS – Early fill this morning…

Bought to Close EWZ JUN 15 2018 37.0 Calls @ .05 (sold for .50)

Sold EWZ JUN 22 2018 35.5 Calls @ .42

#LongCalls #LEAPS – A slow end to the week. Rolled most stuff earlier. One little trade…

Bought to Close OLED JUN 8 2018 100.0 Calls @ .05 (sold for 1.00)

Sold OLED JUN 15 2018 99.5 Calls @ 1.20

On a side note…played golf last Friday and cost myself 4 figures in my TSLA roll. Out on a weekend motorcycle ride starting yesterday and just missed selling EWZ 35 and 40 ITM puts for the inevitable recovery. I still refuse to watch the market every day…but I might start! LOL

Happy weekend!

#LongCalls #LEAPS – This was one of my first attempts at this style of trade. With the low weekly premium I’m cutting it loose due to the whipsaw risk vs the potential profit…just not enough premium to sell.

Bought to Close LUV JUN 8 2018 52.0 Calls @ .05
Sold to Close LUV JAN 18 2019 60.0 Calls @ 1.35

Stock moved against me from day 1 but still squeezed out a profit after commissions…LOL. A whopping 8 cents per contract. Better than a loss!

#LongCalls #LEAPS – This thing is in a squeeze that could go either way. Selling this new batch a couple weeks out and won’t hesitate to roll if deltas become negative. 2020 position that need 66 cents per week to be covered a year early.

Bought to Close RTN JUN 8 2018 217.5 Calls @ .10 (sold for 1.25)

Sold RTN JUN 22 2018 217.5 Calls @ 1.25

#LongCalls #LEAPS – Booking and selling…

Bought to Close AMBA JUN 8 2018 51.0 Calls @ .05 (sold for 1.60)

Sold AMBA JUN 15 2018 44.5 Calls @ .85

#LongCalls #LEAPS – Now that we’ve got the upside risk to these somewhat contained I gave some thought over the weekend (scary!) about the other risk to these that I’ve noticed concerning the downside and possible whipsaw.

Even with the LEAPS, if the stock has moved against you quite a bit they can pretty quickly start running out of juice to sell against when they get down to the last 6 or 7 months. For instance my LUV 2019 60 strike LEAP calls are already down to 1.60 with 7 months still to run. Eventually these positions reach a point where the LEAPS don’t protect the short calls very much on a big whipsaw even if selling less than a full position.

So…what’s a possible remedy to this? Here’s what I’m planning for the stocks that I don’t mind selling against for the long term. I am going to roll my current LEAP position to the next LEAP as soon as it’s available. The debit is minimal and gives a LEAP to sell against that still offers some upside protection.

Then…think of it this way. Each year you don’t have to sell enough to cover the entire cost of the LEAPS…just enough to cover the cost of the debit roll to the next year when it comes out. Everything beyond that is profit. I feel like longer term the debit roll will be covered very easily and subsequent debit rolls can be taken out of the long term profits and they won’t even be an issue. Also when these rolls are done it will allow any adjustments to be made to the LEAP strike prices if you feel it’s necessary.

Here’s what I did with TSLA this morning. Since I’m wanting to sell against it long term and I’ve already got a 2020 position on the call side I’m rolling my 2019 put side out to 2020. This evens things out and gives another year of selling for a minimal debit.

Rolled TSLA Jan 2019 300/200 BePS to Jan 2020 300/200 BePS @ 8.50 debit.

That’s a small price to pay for an additional year of selling and avoids even the slightest whiff of theta working against the position. When the 2021’s come out in a few months I’ll re-evaluate to see if a roll would help.

#LongCalls #LEAPS – Earnings next week also…

Bought to Close AMBA JUN 1 2018 51.5 Calls @ .05 (sold for .91) full position

Sold AMBA JUN 8 2018 51.0 Calls @ 1.60 (80 percent size)

#LongCalls #LEAPS – Rolling….since this is only an 80 percent position with no upside risk I can roll but don’t have to go crazy. Picking up a little more upside with some credit also.

Rolled TQQQ JUN 1 2018 56.5 Calls to JUN 8 2018 57.17 Calls @ .13 credit

I like having the oddball strikes now…LOL

#LongCalls #LEAPS – Rolling out and up…

Rolled AZO JUN 1 2018 642.5 Call to JUN 15 2018 650.0 Call @ 1.74 credit

#LongCalls #LEAPS – Interesting characteristic I’ve noticed about these risk analysis charts….this one is AMBA where I’m evaluating my options for next week (earnings).

If you change the strike price on the next sale the entire curve moves vertically up and and down with no change in the curve itself. The big factor for changing the chart is the number of weeklies sold. TOS is great for setting this up and then manipulating the numbers on the potential trades and seeing the exact effect.

These 3 charts are selling 3, 4, or 5, against a 5 lot with no change in strike price…

#LongCalls #LEAPS – Nice pop again today and now reaching negative deltas for the second time already even after yesterday’s roll. That’s my signal to book and wait for a pullback.

Sold to Close LABU JAN 17 2020 84.87 Call
Bought to Close LABU JUN 8 2018 92.5 Call

Quick little 10 day trade booking 3.42 per contract. Wish all experiments went like this! Only one contract but I’d say LABU is definitely staying in the watchlist.

#LongCalls #LEAPS – Just a one lot experiment since it’s my first time in this ticker. Reaching negative deltas today so rolling out and up a week. I’ll look to close if it gets to negative deltas a second time. I’d book it for a quick 3 or 4 bucks if possible and wait for another pullback to go a little bigger next time.

Rolled LABU JUN 1 2018 90.0 Call to JUN 8 2018 92.5 Calls @ .15 credit

#LongCalls #LEAPS – It’s days like today where I’m becoming a believer in only selling enough weeklies to rapidly cover the cost of the LEAPS while eliminating upside risk (or most of it). As these weeklies get reset I’m trying to get all my positions setup like this.

Bought to Close FAS JUN 1 2018 67.5 Calls @ .09 (sold for 1.02 full position)

Sold FAS JUN 8 2018 66.0 Calls @ .96 (70 percent)

This position is a 10 lot out to 2020 requiring .42 per week ($420.00). Selling 7 for .96 more than covers that while giving this risk:

#LongCalls #LEAPS – Second batch closed this expiration. Selling 70 percent of next batch for no upside risk if this thing rebounds…

Bought to Close EWZ JUN 1 2018 38.0 Calls @ .04 (sold for .32)

Sold EWZ JUN 15 2018 37.0 Calls @ .50

#LongCalls #LEAPS – Small debit roll picking up 3.40 of upside…

Rolled OLED JUN 1 2018 99.5 Calls to OLED JUN 29 2018 103.0 Calls @ .10 debit

#LongCalls #LEAPS – Last one…squeezing in one more sale before earnings.

Bought to Close AMBA MAY 25 2018 50.5 Calls @ .08 (sold for .80)

Sold AMBA JUN 1 2018 51.5 Calls @ .91

#LongCalls #LEAPS – The NOC replacement at twice the size…BTW this is Whiz’s favorite and he’s always right! 🙂 🙂

Bought RTN JAN 17 2020 220.0 Calls @ 22.50

Sold RTN JUN 8 2018 217.5 Calls @ 1.25

Payoff by Jan 2019 and Jan 2020 is .66/.25

#LongCalls #LEAPS – Now that RTN has finally joined the weekly world I’m moving over there. It’s a little cheaper so I can do more contracts too. NOC needed a little pullback to get back to the top of the risk profile (max profit) and it got it today.

Sold NOC JAN 17 2020 330.0 Calls
Bought NOC MAY 25 2018 327.5 Calls

All said and done 17 day position booked 3.08 per contract (just a 2 lot here)

#LongCalls #LEAPS – Here’s the 2020 reset…

Bought TQQQ JAN 17 2020 55.0 Calls @ 14.60

Sold TQQQ JUN 1 2018 56.5 Calls @ .80 (sold 8 of 10)

Payoff by Jan 2019 and Jan 2020 is .42/.16 (assuming full sales)

#LongCalls #LEAPS – Still selling less than max to control upside risk but still enough to cover cost by end of year…

Bought to Close EWZ JUN 1 2018 40.5 Calls @ .03 (sold for .40)

sold EWZ JUN 1 2018 38.0 Calls @ .32

#LongCalls #LEAPS – Was a little irritated at this one but the rally helped. Needed 657.75 to get even but didn’t quite make it. Short put was exercised a couple days ago. Sold the stock today for 633.95 with a basis of 657.75. Taking the 23.80 loss and rolling it into a Jan 2020 LEAP position. Only rolling one for one since these are pricey. I might consider adding another one on a big drop.

Once I calculated the final numbers it definitely looks doable and possibly even very profitable…

Bought AZO JAN 17 2020 640.0 Call @ 99.50 (basis 123.30 now)

Sold AZO JUN 1 2018 642.5 Call @ 4.10

Payoff by Jan 2019 and Jan 2020 is 3.61/1.40

#LongCalls #LEAPS – Rolling out and up. Earnings next week so the premium helps on the roll…

Rolled DG MAY 25 2018 96.0 Calls to JUN 1 2018 101.0 Calls @ .02 debit

#LongCalls #LEAPS – Been in this awhile. Got caught in the December whipsaw but finally back where it started. Getting even and getting out is the goal here. Not a fan of GLD with weak premiums. On the bright side it’s out to 2020 so a lot of time…

Bought to Close GLD MAY 25 2018 124.0 Calls @ .05 (sold for .78)

Sold GLD JUN 8 2018 124.5 Calls @ .51 (70 percent size)

#LongCalls #LEAPS – After the split I’m booking my current position and resetting with the new strikes and using more even numbers and sizes. This was nicely profitable so a good time to adjust on the tiny dip right at the open…

Sold to Close TQQQ JAN 17 2020 50.0 Calls (150.0 pre-split)
Bought to Close TQQQ JUN 15 2018 52.0 Calls (156 pre-split)

Pounded down the basis really early in this one including originally buying the call spreads and then closing the short on the big drop.

All said and done a 7.07 gain on the pre-split number. Only a 4 lot but good enough!

#LongCalls #LEAPS – Late fill…

Bought to Close NVDA MAY 25 2018 255.0 Calls @ .10 (sold for 2.59)

Sold NVDA JUN 8 2018 255.0 Calls @ 2.90

#LongCalls #LEAPS – Here’s the 2020 reset. I’d prefer a bigger pullback but not sure when (or if) it will come.

Bought FAS JAN 17 2020 67.0 Calls @ 14.75

Sold FAS JUN 1 2018 67.5 Calls @ 1.02

Payoff by Jan 2019 and Jan 2020 is .42/.16

#LongCalls #LEAPS – Going through all my 2019’s and seeing what’s nicely profitable and looking at closing and resetting to 2020’s. Here’s the first one I came across. Weeklies were ITM and rolled out to July. Taking advantage of the weakness today to take this one off for a nice gain. Even though I’d reduced basis from 10.50 down to 4.50 in just two months I think I’ll feel better starting a new one in 2020. I’m finding the extra time is well worth the little bit extra it costs.

Sold to Close FAS JAN 18 2019 65.0 Calls
Bought to Close FAS JUL 20 2018 68.0 Calls

Net gain of 1.95 on a 10 lot in a couple months. Happily moving on….

#LongCalls #LEAPS – Jumping back in here. Buying 10 but only selling 8 to eliminate upside risk…still plenty of time to get it all back only selling 8 weeklies.

Bought 10 EWZ JAN 17 2020 40.0 Calls @ 5.80

Sold 8 EWZ JUN 1 2018 40.5 Calls @ .40

Payoff by Jan 2019 and Jan 2020 is .16/.06 (selling 10)
Payoff by Jan 2019 and Jan 2020 is .20/.08 (selling 8)

#LongCalls #LEAPS – I’ll jump in this with you guys. Premiums nice and still two weeks to sell before earnings. Different account than my OLED position since they’re in a similar field. As usual going out in time. Half position to start out with…

Bought AMBA JAN 17 2020 50.0 Calls @ 11.00

Sold AMBA MAY 25 2018 50.5 Calls @ .80

Payoff by Jan 2019 and Jan 2020 is .30/.12

#LongCalls #LEAPS – Booking this week. Selling next week aggressively but only covering 60 percent (6 of 10) of the LEAPS. Zero up side risk but still covering min required to cover the LEAPS by end of year.

Bought to Close 10 EWW MAY 25 2018 48.0 Calls @ .05 (sold for .25)

Sold 6 EWW JUN 1 2018 46.0 Calls @ .50

#LongCalls #LEAPS – Rolling to the week before earnings….

Rolled DG MAY 18 2018 95.0 Calls to MAY 25 2018 96.0 Calls @ .28 debit

#LongCalls #LEAPS – Another week…

Bought to Close NOC MAY 18 2018 330.0 Calls @ .20 (sold for 2.30)

Sold NOC MAY 25 2018 327.5 Calls @ 1.80

#LongCalls #LEAPS – Slow day today. I really like the premiums and rollability of this ticker. I’m in a tiny 2019 position so adding a little more out in 2020. I’ll add more when (if) I get the 2019’s covered but for now…

Bought OLED JAN 17 2020 105.0 Calls @ 26.90

Sold OLED MAY 25 2018 104.0 Calls @ 1.70

Payoff by Jan 2019 and Jan 2020 is .74/.30

#LongCalls #LEAPS – Booked this one a little early so I could get the next sale going…

Bought to Close NVDA MAY 18 2018 260.0 Calls @ .34 (sold for 3.57)

Sold NVDA MAY 25 2018 255.0 Calls @ 2.59

#LongCalls #LEAPS – Another week done…

Bought to Close LUV MAY 18 2018 53.5 Calls @ .08 (sold for .60)

Sold LUV MAY 25 2018 53.0 Calls @ .32

#LongCalls #LEAPS – This completes another double dip. NAFTA deadline this week so it could go anywhere…

Bought to Close EWW MAY 18 2018 49.5 Calls @ .03 (sold for .36)

Sold EWW MAY 25 2018 48.0 Calls @ .25