#ShortStrangles – Just for simplicity and to keep the theta up a little rolling ITM short puts out to where the 130 short calls are sitting.
Rolled WYNN NOV 3 2017 152.5 Puts to NOV 17 2017 152.5 Puts @ .97 credit.
Position is now 152.5/130 inverted strangles @ 19.95. Leaning towards taking the stock at a basis of 132.55 and rolling the 130 calls up and out. Turning it into a covered call play…
#CoveredCalls -Trailing stop on next week’s so going ahead and selling earnings now since stock looks weak…
Sold REGN NOV 10 2017 425.0 Call @ 6.50
#LongCallDiagonals – Rolling the front month…unfortunately. Talk about capping your gains… 😦
Rolled AMZN OCT 27 2017 990.0 Call to DEC 15 2017 1000.0 Call @ 1.29 credit.
Picking up another 11.29 of upside. I guess the short call can be treated as a trailing stop now. Probably able to roll it up 10 points a month for close to even. If AMZN levels off hopefully I can catch up to it eventually.
#LongCallDiagonals – Rolling the front month…
Rolled HIMX OCT 27 2017 10.0 Calls to NOV 10 2017 10.5 Calls @ .10 credit
Picking up another 60 cents of upside…
#FallingKnife – Good divvy down here…no position
#Earnings – Not really seeing anything for tomorrow that I like so letting out the leash a little. These should have a little bit of volatility collapse anyway. Selling down around the 200 ma.
Sold WDC NOV 17 2017 85.0 Puts @ 1.55
#CoveredCalls – Got a breakeven stop set on next week’s so selling earnings week too. Big risk here is a buyout and the stock spikes to 100…
Sold AAOI NOV 10 2017 44.0 Calls @ 1.10
#Futures – I must be bored but corn ( /ZC ) sure looks like it’s ready to go higher. Pretty tight daily squeeze after a big drop.
#ShortPuts #IRA – Sold PSA JUN 15 2018 160.0 Put @ 2.50
This would get the stock at 157.50 raising the divvy yield to 5.1%
#SyntheticStock #IRA – 2020 LEAPS out so plenty of time to sell the crap out of this one. Earnings in a couple weeks so some good premium to get started with…
Synthetic stock in Jan 2020 for .58 credit:
Sold DIS JAN 17 2020 100.0 Puts @ 11.65
Bought DIS JAN 17 2020 100.0 Calls @ 11.07
Applying the .58 credit to help buy the disaster puts:
Bought DIS JAN 17 2020 90.0 Puts @ 7.18
In the 2020 position for 6.60 debit. Disaster puts are 10 points under the synthetic so max risk in the entire trade is 16.60. Should easily sell 4 to 5 times that much in front month weeklies if DIS goes nowhere and the trade runs the full 116 weeks. That works out to only needing to sell 14 cents a week to cover max loss.
So:
Sold DIS NOV 3 2017 99.5 Calls @ .36
BIDU – puts at the expected move still 2.40
EXPE – decent premium
WDC – Up on the back of STX rally
Leaning towards WDC strangles of some sort…
#FallingKnife with nice divvy…
#Earnings #ShortStrangles – Decent earnings season so far…sold 11 minutes before the close and closed 3 minutes after the open. My kind of trade!
Bought to Close FFIV OCT 27 2017 115.0/130.0 Strangles @ .10 (sold for 2.40)
🙂 🙂
#Earnings #ShortStrangles – Out of AVGO earlier so now there’s room to take a shot at this one…
Sold FFIV OCT 27 2017 115.0/130.0 Strangles @ 2.40
Skewed slighly bullish with an expected move of 7.01 with stock at 118.90
If she can get down to 120 or so (116 would be even better) it will be my next Whiz style #SyntheticStock position…FWIW 🙂
#SyntheticStock #LongCallDiagonals – Booking and selling. Earnings next week so great premium. Selling above the 50ma…
Bought to Close AAPL OCT 27 2017 160.0 Calls @ .09 (sold for .80)
Sold AAPL NOV 3 2017 160.0 Calls @ 1.80
#ShortStrangles – Booking it at about 50 percent of max…
Bought to Close AVGO NOV 10 2017 240.0/260.0 Strangle @ 3.50 (sold for 6.48)
#ShortPuts – Booked a bunch in this account a couple days ago. Starting to dabble again…
Sold SVXY NOV 17 2017 80.0 Put @ 2.50
Sold SVXY DEC 15 2017 70.0 Put @ 2.65
Sold SVXY JAN 19 2018 60.0 Put @ 3.00
#RocketManHedge – Moving my position over to SPX so selling puts against the SPY hedge experiment to get to even…
Sold SPY NOV 3 2017 253.0 Puts @ .62
#SyntheticShort #Hedge #RocketManHedge – A little hedge out through the beginning of the year…
Synthetic short stock with a protective call. 45.00 debit with max loss of 50.00:
Sold SPX JAN 19 2018 2570.0 Call @ 41.50
Bought SPX JAN 19 2018 2570.0 Put @ 48.00
Bought SPX JAN 19 2018 2575.0 Call @ 38.50
Need to collect 4.15 per week to cover the max loss so:
Sold SPX NOV 3 2017 2530.0 Put @ 5.90
This gives 40 to 50 points of downside protection for minimal (or no) cost…
How’s this sound for putting on decent protection for very little risk. Synthetic short stock with a protective call in SPX using Jan 2018. This would provide nice protection through the end of year.
(Keep in mind you could just buy a put instead but I feel like I could use the other positions somehow to help make a little extra if the market doesn’t fall…just not sure how yet. 🙂 )
The trade:
SPX Jan 2018 synthetic short stock at 2570 and buy a 2575 call for upside protection and sell weeklies to finance…
1. Net debit on this would be about 41.50 with another 5 points of upside risk for 46.50 max loss.
2. Trade would run for 12 weeks.
3. Would need to collect 3.90 of weekly premium to breakeven (assuming max loss)
4. Currently 3.90 weekly premium is at about 2515 so 55 points of downside room.
5. The weekly put could also be rolled down for additional gain if we do implode.
6. Continue selling 50 points below every week and trade does no worse than even while continually carrying 50 points of protection.
7. What’s the risk? Market rallies hard early in the trade forcing the 50 point sale to be so high that you make nothing on the drop. Of course you still have the short term hedge since longs were doing great during the rally.
Comments, criticisms, etc.?
#SyntheticStock – He added this today. I like it. He went 30/30/25 for the LEAPs. I’m using 32/32/27. Same risk and same reward for much lower debit entry.
Synthetic stock in Jan 2019 for 1.03 credit:
Sold MGM JAN 18 2019 32.0 Puts @ 4.66
Bought MGM JAN 18 2019 32.0 Calls @ 3.63
Using the 1.03 to buy the disaster puts:
Bought MGM JAN 18 2019 27.0 Puts @ 2.42
In the 2019 position for 1.39 debit. Disaster put is 5 points under the synthetic so max risk in the entire trade is 6.39. Should easily sell 4 to 5 times that much in front month weeklies if MGM goes nowhere and the trade runs the full 65 weeks.
So:
Sold MGM NOV 3 2017 31.0 Calls @ .44
#ShortCalls – Rolling out and up and pairing with the bull put spreads that I had previously reverse rolled some short calls into…
Rolled SVXY JAN 19 2018 120.0 Calls to JUN 15 2018 155.0 Calls @ .70 credit
#CoveredCalls – Next week using this week’s high as a sell point. Stock looking weak so staying aggressive with the sales. #Earnings on Nov 8th…
Bought to Close REGN OCT 27 2017 450.0 Call @ .30 (sold for 3.50)
Sold REGN NOV 3 2017 437.5 Call @ 4.50
#LongCallDiagonals #Earnings – To give my iron flies a little encouragement, I’m rolling down the front month call on the diagonal trade to hedge a little.
Rolled AMZN OCT 27 2017 1000.0 Call to OCT 27 2017 990.0 Call @ 3.55 credit (premium received now 11.75)
#Earnings – An idea from John Carter last night. Playing it bullish with a nice even pin at 1000.00. He said the selloff yesterday was a perfect opportunity for this so giving it a shot. Risk 75 to make 925 but very directional.
Sold AMZN OCT 27 2017 990.0/1000.0/1010.0 Iron Flies @ 9.25
#ShortPuts #IRA – These have barely moved today so booking them and hopefully getting to re-load a little nearer term.
Bought to Close SVXY NOV 17 2017 65.0 Put @ .75 (sold for 2.63)
Bought to Close SVXY DEC 15 2017 35.0 Puts @ .38 (sold for 1.15)
Bought to Close SVXY JAN 19 2018 35.0 Put @ .85 (sold for 2.45)
Bought to Close SVXY MAR 16 2018 35.0 Put @ 1.30 (sold for 3.25)
#ShortStrangles and possibly #PerpetualRollingStrangles – Haven’t been in this one in awhile. Finally showing some two sided action…
Sold EWZ DEC 15 2017 40.0/44.0 Strangles @ 1.55
#FallingKnife #IRA #Dividends – Maybe a decent place to buy it if she keeps falling…
Sold KMB APR 20 2018 105.0 Put @ 3.00
#Earnings – Trying something a little different. Instead of waiting until the day of the announcement I’m selling a starter position in case this thing breaks higher. I’ll add if it drops and then decide later if I’m gonna sell the call side.
Selling the 50 ma the week of earnings…
Sold NVDA NOV 10 2017 180.0 Put @ 2.30
#ShortStrangles – Taking a little off and looking out to #Earnings week for a new position…
Bought to Close NVDA NOV 3 2017 180.0/215.0 Strangles @ .63 (sold for 5.11)
#Earnings ?? – As usual the date changed over the weekend. TOS estimating the 26th now but IV still reflects their original date of Nov 1st. Who knows? Nothing on the WYNN website yet…
40 years ago…
http://www.rollingstone.com/music/features/remembering-lynyrd-skynyrds-plane-crash-ronnie-van-zant-w509500
#ShortCalls – Here’s how I’m handling my short calls that get in trouble. Well before they get in the money (usually as they reach about 3 times more than they sold for) I roll them out to put spreads.
Rolled SVXY JAN 19 2018 117.5 Calls to JUN 15 2018 120.0/105.0 Bull Put Spreads @ .10 credit
So now what?
1. We continue up and life is good (except for the next batch I have to roll)
2. We tank and I own SVXY. By using spreads it really doesn’t matter how low it goes. In fact, the lower the better. Wherever it ends up I’ll be getting the stock at a basis 12.25 above wherever it’s trading at the time. (sold the original call for 2.75 and the spread is 15 wide)
#Earnings #ShortStrangles – Finally out of the entire position. Great earnings day in this and ISRG…decks are clear for next week now.
Bought to Close ATHN OCT 20 2017 106.0/129.0 Strangles @ .25 (sold for 2.35)
#ShortStrangles – Rolling these again. Sold against Nov monthly 130 calls…
Rolled WYNN OCT 20 2017 152.5 Puts to NOV 3 2017 152.5 Puts @ 1.46 credit
#Earnings #ShortStrangles – Pushing the limits on the call side so still watching. I’ll switch to puts and roll it out if it stays strong. Closing the puts while waiting…
Bought to Close ATHN OCT 20 2017 106.0 Puts @ .05
#ShortPuts #IRA – Thanks @jsd501 !
Sold CELG APR 20 2018 100.0 Put @ 2.30
Sold CELG APR 20 2018 95.0 Put @ 1.60
#Earnings #ShortStrangles – Closing this while I’ve got a chance. Last time I did an earnings trade on this one I pushed my luck on the call side and had to fight it for 6 months…
Bought to Close ISRG OCT 20 2017 340.0/375.0 Strangles @ .85 (sold for 3.55)
#Earnings #ShortStrangles – First time ever in this ticker. Expected move of 9.75 but seems to exceed the move a lot of the time. Staying small…
Sold ATHN OCT 20 2017 106.0/129.0 Strangles @ 2.35
#Earnings #ShortStrangles – Got out of this a couple weeks ago. Had so much fun I’m heading back in…
Sold ISRG OCT 20 2017 340.0/375.0 Strangles @ 3.55 (expected move of 14.05)
ATHN – Big IV
ISRG – Probably selling some puts…it’s a lot more reasonable after the 3 for 1 split.
PYPL – Watching but not sure…very extended like many others
SKX – Cheap with bigIV so maybe worth a shot…love the shoes. Golf shoes, regular tennis shoes, and work shoes all SKX. 🙂 🙂
VZ – Yuck…no premium
#ShortStrangles – WYNN does this nearly every quarter with the earnings date. I’ve got puts I need to roll and TOS estimates earnings on Nov 1st. Last quarter I rolled based on that and then they moved it up a week and I was instantly losing on the roll as the IV popped. Looks to me based on the last few dates it will be next week and TOS will be wrong again. Would be nice if it changes before I’m forced to roll…
#CoveredCalls – Sold TEVA NOV 3 2017 15.5 Calls @ .32
#CoveredCalls – Still keeping these in the expirations prior to earnings…
Bought to Close REGN OCT 20 2017 460.0 Call @ .10 (sold for 10.65)
Then:
Sold REGN OCT 27 2017 450.0 Call @ 3.50
#ShortStrangles – Yesterday took advantage of the bounce to book an inverted strangle at a decent profit…
Bought to Close TSLA OCT 20 2017 360.0/350.0 Inverted Strangle @ 14.00 (sold for 17.50)
#ShortStrangles – At various times this week…
Bought to Close AAOI OCT 20 2017 48.0 Calls @ .01 (sold for 1.20)
Sold AAOI NOV 3 2017 44.0 Calls @ 1.00
Rolled AAOI OCT 20 2017 80.0 Puts to NOV 17 2017 80.0 Puts @ 1.25 credit (basis in these down to 61.08)
#ShortPuts #IRA – Following @Iceman …. just a couple strikes higher.
Sold 1 GWW APR 20 2018 160.0 Put @ 3.80
#CoveredCalls – Was long stock covered by next week’s 301.67 calls. Was entering an order to close the entire position at 301.50…willing to give up 17 cents to free up the cash a week early and to not have to hold over earnings. Forgot to adjust the darn price and was filled at 300.88. Ended up costing myself 62 cents but with a basis of 299.13 it’s still a winner.
Had this position on for a long time since a previous earnings play where the call side got demolished on a gap and run. Happy to be out and satisfied with the long grinding comeback!
#LongCallDiagonals – Watching this week’s 157.5’s to hopefully expire. Selling new batch a couple weeks out and before earnings…
Sold AAPL OCT 27 2017 160.0 Calls @ .80
#CoveredCalls – Keeping a little stock for at least a couple more weeks…
Rolled SVXY OCT 13 2017 93.0 Calls to OCT 27 2017 94.0 Calls @ .59 credit
#ShortStrangles – Just a quickie. I’ll look to re-establish in earnings week.
Bought to Close WDC OCT 20 2017 80.0/92.5 Strangles @ .19 (sold for 1.22)
#CoveredCalls – These aren’t covered yet but they might as well be…
Bought to Close AAOI OCT 20 2017 60.0 Calls @ .05 (rolling this profit into my stock basis)
Sold AAOI OCT 20 2017 48.0 Calls @ 1.20
Selling these a little under my basis but should be able to roll up into earnings if needed…
#ShortStrangles – Rolling up the put side for some extra premium. Looks like she wants to break out to new highs…. Thanks @geewhiz112 for the reminder!
Rolled NVDA NOV 3 2017 165.0 Puts to NOV 3 2017 180.0 Puts @ 1.60 credit.
New position is NOV 3rd 180.0/215.0 Strangles @ 5.11 credit (this is still the week before earnings)
More like a #FallingAx
🙂 🙂
#LongPutDiagonals – Here’s the latest…adjusting the front month put sales that have (or will be) capping gains.
1. Closed one third of the position using the cash brought in from front month sales. This will open up that part of the 2019 position to continue lower towards zero.
Bought to Close VXX JAN 19 2018 38.0 Puts @ 6.68
2. Rolled the other two thirds of the put positions out and down to 2019.
Rolled VXX JAN 19 2018 38.0 Puts to VXX JAN 18 2019 28.0 Puts @ .31 credit
I made this adjustment after this conversation with TDA this morning:
——————————————————-
10:24 fuzzball: Quick question…any idea when the VXX 2020 LEAPS will be coming out?
10:30 SeanF_TOS: Hello, at the latest I would anticipate them to be issued once the Jan 2018 options expire
10:30 SeanF_TOS: usually they expire the 2018 ones then list the next set the following monday
10:31 fuzzball: Makes sense. I noticed the AAPL 2020’s were already trading. I’m sure it varies from ticker to ticker.
10:34 SeanF_TOS: Yeah they could potentially list them earlier based on trading demand. Exactly there isn’t an exact science to it, we’re usually good at keeping up and putting them on the platform the same day they get listed, but if you ever see them on cboe’s website as available to quote and we don’t have them let us know and we’ll get them listed by the next business day.
10:35 fuzzball: Thanks!
10:35 SeanF_TOS: You’re welcome! Have a great day!
——————————————————–
So…as soon as the 2020’s come out I’ll be rolling the puts again out and down and probably setting up another batch of synthetic short positions above them. Those (the 2020’s) will be capped to the downside again but the much larger 2019 position will be free to run all the way down.
#FallingKnife #IRA – Could be a long term hold. Dividend over 5 percent now with the selloff.
Sold T APR 20 2018 35.0 Puts @ 1.47
#ShortStrangles – Rolling up the put side for additional credit. Original sale was just below the 200 ma. Rolling up to just below the 50 ma.
Rolled AVGO NOV 10 2017 225.0 Put to NOV 10 2017 240.0 Put @ 2.03 credit
New position is Nov 10 240.0/260.0 @ 6.48 credit
#LongCallDiagonals – Taking advantage of high IV in earnings week and rolling my front month as high as I can for even. Weekly squeeze and looking like it’s ready to run…
Rolled AMZN OCT 20 2017 975.0 Call to AMZN OCT 27 2017 1000.0 Call @ .13 credit
Almost right back where the whole thing started but…front month premium received of 44.50 during the dip.
#FallingKnife – I’d say SBH is there and ULTA may not be far behind. More AMZN victims?
#ShortStrangles – Got a little wiggle in TLT on the Fed minutes and my standing order filled. Increasing position size slightly on this #PerpetualRollingStrangles position.
Sold TLT DEC 15 2017 121.0/129.0 Strangles @ 1.55
#SyntheticStock #IRA -For lack of anything better to do I’m putting on a cheap long shot that a buddy of mine has been talking about for awhile. It caught a downgrade this morning so pulling back enough for an entry.
Going synthetic long stock with the 2019 LEAPS and buying protection slightly below that. With the skew the initial position was only a .06 debit. Selling front month calls also a couple weeks out.
Bought to Open HIMX JAN 18 2019 10.0 Calls @ 2.49
Sold to Open HIMX JAN 18 2019 10.0 Puts @ 2.99
Bought to Open HIMX JAN 18 2019 5.0 Puts @ .56
That’s .06 out of pocket but still a 5 dollar downside risk if this thing goes to zero….(you never know)
Then:
Sold to Open HIMX OCT 27 2017 10.0 Calls @ .25
Capping my upside slightly but even if HIMX goes nowhere and the front months average .10 it’s still a nice winner by the end of the run…
#FallingKnife – Sold 1 DGX May 18 2018 80.0 Put @ 2.20
There were a few more but they were less than 5 bucks so not interested. DGX seemed to have the most potential here.
$DGX (looks interesting)
$TTS
$TV
$WBA
#ShortPuts #IRA – Using @Iceman ‘s idea on K but using GIS since I’m a Cheerios fan. 🙂 🙂 This would be a long term hold if I get the stock…
Sold 2 GIS Apr 20 2018 47.5 Puts @ 1.62
#ShortPuts #IRA -Looks like she might be rolling over after a nice run. Held this all the way through the dip so finally booking it and freeing up a ton of margin…
Bought to Close AZO DEC 15 2017 500.0 Put @ 4.40 (sold for 10.00)
#LongCallDiagonals – Looks like a 155 pin today. Not gonna quite get it all so selling slightly higher next week…
Bought to Close AAPL OCT 6 2017 155.0 Calls @ .15 (sold for .95)
Sold AAPL OCT 13 2017 157.5 Calls @ .40
#FallingKnife – Could be the beginning. Not sure what the news was…
#BearCallSpreads #IRA – I’ve closed a few of these over the last couple weeks. Re-selling a little lower with some starters…
Sold UVXY MAR 16 2018 20.0/30.0 Bear Call Spreads @ 1.56
Sold UVXY JUN 15 2018 25.0/35.0 Bear Call Spreads @ 1.21
#ShortPuts #IRA – Played the bounce on this thing in a couple different accounts. Pretty happy capturing over half of max in all cases. Going flat now and will be looking for an earnings trade on it.
Bought to Close 1 EFX Apr 20 2018 55.0 Put @ .75 (sold for 2.25)
Bought to Close 1 EFX Apr 20 2018 60.0 Put @ .91 (sold for 2.20)
#RocketManHedge – Been thinking about this for awhile. Having a great year with account at all time highs. Don’t really want anything crazy to mess up a good year so I’ve been looking at some hedges out towards end of year. Looked at SPX, /ES, VIX, and SPY.
Finally decided on SPY with a synthetic short with defined risk to the upside and protection all the way to zero. It was then just a matter of how much insurance to get. I’m already hedged on a lot of my stuff but there is still some risk there if Rocket Man pulls anything crazy.
Here’s the details:
Sell to Open 2 SPY DEC 15 2017 253.0 Calls @ 4.28
Buy to Open 2 SPY DEC 15 2017 253.0 Puts @ 4.24
Then to cap upside risk:
Buy to Open SPY DEC 15 2017 254.0 Calls @ 3.65
Cost of trade $722 with max loss of $922
Max gain of $49,878 (protection to zero)
Breakeven of SPY 249.39
Questions, comments, criticisms always welcome!
#ShortStrangles – Haven’t been in this one in awhile…selling well before earnings.
Sold AVGO NOV 10 2017 225.0/260.0 Strangle @ 4.45
#ShortStrangles – Some “expert” gave it a $500 price target this morning so it’s breaking above the 50ma. Rolling my entire strangle up to slightly in the money.
Rolled Oct 20th 345/355 Short Strangle to Oct 20th 360/365 Strangle @ 1.50 credit.
Total premium received is now 15.90 so new breakeven is 344.1 – 380.9
My brother sent me this earlier today…
http://volatilitytradingstrategies.com/
Options Bistro 