Current position was 123 Oct monthly short straddles @ 2.48 (this was previously adjusted from a strangle). Making some small moves on it today to collect more premium.
Rolled 123 puts out to Nov 122 @ .12 credit
Rolled 123 calls down to 120 @ .83 credit (staying in Oct)
Bought to Close SVXY OCT 21 2016 50.0 Put @ .15 (sold for 2.50)
Bought to Close SVXY OCT 21 2016 55.0 Put @ .25 (sold for 2.50)
Then:
Sold SVXY NOV 18 2016 50.0 Put @ .80
Sold SVXY NOV 18 2016 55.0 Put @ 1.40
In the #IRA ….selling at the 200ma and lower:
Sold IBB Nov 18 2016 270.0 Put @ 6.50
Sold IBB Dec 16 2016 260.0 Put @ 6.40
Sold IBB Jan 20 2017 250.0 Put @ 6.60
Adding a new one to my stable of strangles…
Sold IBB NOV 18 2016 265.0/310.0 Strangle @ 5.15
Bought to Close UVXY OCT 21 2016 40.0/50.0 Bear call spreads @ .02 (sold for 1.00)
Only a starter position that I never got a chance to add to…
2 weeks to go….still need ‘er a little lower.
Oct monthly 380/440 strangle originally sold for 7.50. Rolling down the un-threatened side to resistance.
Rolled 440 calls down to 410 for 2.37 credit. New position is now 380/410 strangle @ 9.87
Still adjusting and still bringing in premium. I may never close some of these positions…LOL
Rolled 108 short puts out 2 weeks @ .20 credit.
Against those:
Sold WYNN OCT 14 2016 100.0 Calls @ 1.02
Replacing 98’s expiring today. The 98’s were a roll down from a little higher to capture even more premium. (2.21 to be exact) By rolling the ITM puts out I can now sell 2 sets of weeklies against them. Earnings on the 27th so premium should start increasing in that expiration.
Rolling 165 out 2 weeks and up to 167.5 @ .05 debit. Continuing to sell against a long term bullish position. Gradually reducing basis…
Rolled this week’s 2165 covered put out to the monthly 2155 for 5.75 credit. Raising basis and making a little more room for some downside.
Survived the hurricane now back and set up for the last hour. Only time for some rolls today…
?? Saw your question on OMM…I’ve often wondered the same thing. Still no answer but performance over there can’t be too hot…unless you go in big on the winners and small on the losers…LOL
Replacing the one expiring today…selling against short Dec futures.
SOLD /ES OCT 16 (Wk1) 2165 PUT @ 12.00
Had this week’s 162.5 calls that were an aggressive roll down for a total of 1.85 credit for the week. Rolling them out and up to next week’s 165’s @ .50 credit. Short term sales against a long term 2018 position…
Should’ve closed those 162.5’s for 4 cents earlier this morning…grrr. Got greedy and cost myself at least 30 cents trying to make 4 cents.
Rolled 18.5 short calls out another week for .75 credit. Still inverted against monthly 26 puts and still selling at a 3 call per 2 put ratio. I hope NUGT stays right here forever!
Happy I closed those Dec short puts a few days ago. Triple top sure held…looking to reload if we can beat this thing down to the 200ma.
Just for something a little different…
Sold VIX NOV 16 2016 20.0/25.0 Bear call spreads @ .70
Made money all the way down on the inverted roll now stepping it back up a little at a time for even…
Rolled CMG Sep 30th 415.0 call out and up to Oct 14th 422.5 call @ even.
Still inverted against a monthly 435.0 put. Inverted by 12.50 but premium received so far of 23.85. I’ll get one more chance to roll it into the same week as the put then earnings are the week after that. Plenty of time and opportunity for very profitable rolling on a low margin low risk position.
This has turned out to be a really fun trade….especially after DR closed the original idea for losses.
Bought to close WYNN Sep 30th 103/108 Bear calls spreads @ .30. I’m booking these…after the rolls accumulated premium was 4.05.
This left 108 naked puts for this Friday so:
Rolled 108 puts out to next Friday @ .44 credit (4.40 credit received so far) and:
Sold WYNN OCT 7 2016 105.0 Calls @ 1.02
Now position is 108/105 inverted strangle that has an accumulated value of 5.42. So instead of closing for a loss this WYNN position has brought in almost 9.50 in premium in just a few weeks while only using about 1300 margin per strangle.
Fuzzy happy! 🙂
SOLD /ES @ 2151.00
SOLD /ES SEP 16 (EOM) 2150.0 Put @ 10.25
Max gain of 11.25 points and breakeven at 2161.25 (just below the 50)
Otherwise, sell another weekly next week for about 15 points….
Looking at this as a longer term position to trade around so starting with a fairly wide strangle…pretty liquid with decent premium and weeklies. Staying small!
Sold GLD OCT 21 2016 123.0/129.0 strangles @ 1.33
Rolled Oct monthly 133 puts up to 137 for .95 credit. Position is now 137 straddle for 2.85 credit. One side has to expire then adjust accordingly after that.
Taking a fairly aggressive shot here betting overhead resistance will be strong. If not, I may have to give this all back on the roll to next week…
Rolled this week’s 167.5 short calls down to 162.5 for .90 credit. Of course I did it right before the consumer confidence number came out.
Taking it off at about 80 percent of max profit. This was a short future against a short put sold last Thursday… I’ll be looking to sell it again on any strength.
Bought to close /ES @2142.50 (sold for 2168.75)
Bought to close /ES SEP 16 (EOM) 2170.0 Put @30.25 (sold for 12.75)
Max gain on the trade was 11 points and closed for 8.75 gain.
Only in these for one week and three weeks. IBB at resistance and more than 50 percent of max gain already achieved so taking them off. Debate Monday night might put drug companies back in the spotlight so could possibly get a chance to sell ’em again with 84 days still left.
Bought to close IBB DEC 16 2016 250.0 Put @ 2.50 (sold for 5.70)
Bought to close IBB DEC 16 2016 260.0 Put @ 3.60 (sold for 7.70)
Sold GS SEP 30 2016 167.5 Calls @ .95
Replacing this week’s expiration…covered by long Leap calls.
Still rolling this inverted position and still collecting nice weekly premium…
Rolled Sep 23 18.5 calls out to Sep 30 18.5 @ .34 credit.
These are against Oct monthly 26 puts at a 3/2 ratio now (3 calls per 2 puts). Considering on my next roll going out to Oct monthly and higher to hopefully get the calls to expire. At that point I could do an aggressive roll down of the ITM puts to strangles. That would be a big step in finally getting out of this. In the meantime…cash coming in every week.
Sold /ES @ 2168.75
Sold /ES Sep 30 (EOM) 2170.0 Put @ 12.75
These trade at 50 dollars per point:
Max gain to the downside of 11.50 ($575)
Breakeven to the upside of 2181.50 where I would then roll up the puts or sell them again if it looks toppy.
I’ll try to keep it short…LOL
Had 108/103 BuPS this week against next week 103/108 Becs. On the pullback sold to close this week 103 long puts @ 1.83. Also rolled short 108 puts to next week 108 puts @ .46 credit.
This leaves next week:
103/108 Bear call spreads against 108 naked puts. All together credit received of 8.30. Either we rally up through 108 and Becs is max loss and naked puts are worthless for 3.30 net gain OR we tank and BeCS goes out worthless and still have naked puts at about 99.70 basis. At that point I would probably sell bear call spreads again.
Still no regrets on trying to turn the DR loser into a winner!
Rolled this week’s 407.5 call out to next week 415.0 @ .25 credit.
This is inverted against an Oct 435 put. Total credit received so far of 23.85. Still bullish here. Ideal position price would be up near 435 by Oct expiration with calls rolled up to near a strangle.
Bought to Close REGN SEP 23 2016 400/375 Bull put spread @ 1.15 (sold for 5.15 last Friday)
Replacing it with:
Sold REGN OCT 21 2016 380.0/440.0 Strangle @ 7.50
Wow!
Slow day but did get a fill this morning.
Sold to close Sep 23 41/42 BeCS and 38/37 BePS @ .51 (originally sold for .04 Friday)
Technically it was a “buy to open” and a “sell to close” except the buy side was done for a .04 credit. (total gain of .55)
Sucking volatility out now…
Posted sometime this week:
TGO WYNN iron condor
A couple weeks ago DR put on a Sep 30th 75/80/105/110 iron condor @ .88 (I missed it so ended up using 103/108 on the call side). Since then WYNN has gone straight up so I kept thinking an adjustment would get sent out…DR has a 2 hour webinar on adjustments that I haven’t watched yet so I was expecting some magic this morning in the briefing. He basically advised that it wasn’t working so close it for the loss. I suggested maybe selling a slightly higher put spread to maybe recoup some of the loss but no go…guess I can’t argue with his logic but here’s what I’ve been doing…call me hard headed (or stupid…LOL)
———————————
Sold Sep 30th 75/80/103/108 @ .88 credit
———————————
Rolled 80 puts up to 95 @ 1.40 credit
———————————
Rolled 95 puts to this week 101 @ .29 credit
———————————
Rolled this week 101 puts up to 103 @ .84 credit
———————————
Rolled 103 puts up to 107 @ 1.05 credit
———————————
I’ve now collected 4.46 in premium with a max loss of 5.00 on the call side. Still 2 more weeks to sell. If these 107’s expire I’m considering just selling the Sep 30th 108/103 put spread @ 1.65. This would be exactly inverted against the calls giving me a total of 6.11 in premium basically locking in a profit greater than the original .88.
We shall see…
================================================================================
Update:
Looks like the 107 puts will expire locking in all the roll up profits from the last 2 weeks. So today:
Sold WYNN SEP 23 2016 108.0/103.0 Bull put spreads @ 1.60
These are sold against the Sep 30th 103.0/108.0 Bear call spreads. I’m trying to squeeze an extra week out of this put side hoping to sell ’em again the following. Looks kinda strange having same strikes for both spreads but…total premium is now up to 5.95 so worse case one side will expire at max loss and I’ll pocket the remaining .95. Ideally WYNN will stay above 108 and I’ll sell this same put spread next week turning a potential losing iron condor into about a 2.50 winner. I’ll take it considering the original condor was only worth about 90 cents.
PS… @elitethink: DR is Doug Robertson. A partner at TGO. I felt he was too willing to give up on this trade and book the loss so I went rogue! LOL
Aw crap guys…was typing and trading in the airport terminal from my Note 7 (gulp) all morning but just got home and fired up the computer. Now with everything right in front of me here’s the trade using my actual fills. I forgot all about the buying of the “disaster” puts. Adds small cost but a lot of protection to the trade. Told ya this is all new for me!
Bought Jan 2018 130 calls @ 43.60
Bought Jan 2018 130 puts @ 6.87
Sold Sep 16 2016 70 calls @ .65
LEAPS are currently showing down 380 dollars (thanks to long puts) and short calls brought in 325 so trade is down a net of 55 bucks even though the stock is down a little since I opened it. So far so good…
Going all in on no hike next week:
Sold GS SEP 23 2016 167.5 Calls @ 1.35
Replacing a batch expiring today…still fighting my way out of this last split.
Sold NUGT SEP 23 2016 18.5 Calls @ 1.32
Selling these against DITM Oct 26 puts at a 2 for 1 ratio. Used about half the proceeds for this:
Bought to Close NUGT OCT 21 2016 26.0 Put @ 9.30
Considering rolling some of the Oct 26 strike puts out to Nov strangles at much lower strikes…is that a feasible idea?
Bought to Close GS SEP 16 2016 170.0 Calls @ .01 (sold for .65)
Selling these every week against Jan 2018 130 calls…only need about 60 cents a week to pay for the calls. I’ll eventually close the whole thing when Aunt Janet raises and banks get a boost.
Closed for .15 credit. Lost .04 so wishing I hadn’t raised the strikes a half point from the original trade. Needed a buck up instead of down. Regular old iron fly would’ve been the play…
$NVAX – Wow!
$IBB holdings:
Novavax 0.39% $28,428,369
$IBB on sale tomorrow?
A couple weeks ago DR put on a Sep 30th 75/80/105/110 iron condor @ .88 (I missed it so ended up using 103/108 on the call side). Since then WYNN has gone straight up so I kept thinking an adjustment would get sent out…DR has a 2 hour webinar on adjustments that I haven’t watched yet so I was expecting some magic this morning in the briefing. He basically advised that it wasn’t working so close it for the loss. I suggested maybe selling a slightly higher put spread to maybe recoup some of the loss but no go…guess I can’t argue with his logic but here’s what I’ve been doing…call me hard headed (or stupid…LOL)
———————————
Sold Sep 30th 75/80/103/108 @ .88 credit
———————————
Rolled 80 puts up to 95 @ 1.40 credit
———————————
Rolled 95 puts to this week 101 @ .29 credit
———————————
Rolled this week 101 puts up to 103 @ .84 credit
———————————
Rolled 103 puts up to 107 @ 1.05 credit
———————————
I’ve now collected 4.46 in premium with a max loss of 5.00 on the call side. Still 2 more weeks to sell. If these 107’s expire I’m considering just selling the Sep 30th 108/103 put spread @ 1.65. This would be exactly inverted against the calls giving me a total of 6.11 in premium basically locking in a profit greater than the original .88.
We shall see…
Currently short some Oct. 133/145 strangles @ 1.06. The 145 call is pretty much worthless so rolling it down into the overhead supply resistance for additional credit.
Rolled Oct monthly 145 calls down to 137 for .85 credit.
She’s poking her head up through the 50 but banging her head on the 200. Counting on Aunt Jane to give the market a boost next week. Plenty of options to roll this thing if needed…
Sold REGN SEP 23 2016 400.0/370.0 BuPS @ 5.15
This has been in and out of trouble all month. Getting out while I can. May sell the same one for next week. Closing just the short side…
Bought to close REGN SEP 16 2016 400.0/375.0 BuPS @ 1.80 (sold for 5.20)
Sell Sep 16th 39/42 strangle
Buy Oct 14th 39/42 strangle
.55 debit which would be max loss. Basically selling higher IV and buying lower IV for protection. Doug says with near term IV collapse the trade will make money up to about twice the expected move. I prefer buying next week for protection. IV collapse in the long protection is a little higher than Oct 14 but can get the trade on for about .20 debit.
I’ll throw 5 contracts at it and see how it goes.
Going with this for .20 debit:
Sell Sep 16th 39/42 strangle
Buy Sep 23rd 39/42 strangle
Just rolling around collecting premium…
Rolled Sep 440 put to Oct 435 @ 2.41 credit.
I’ll continue selling weekly calls against this. With a 435 call expiring Friday total premium is up to 18.10 on 5500 margin…
Low margin and good liquidity. This is another one I’d like to have a position in all the time for the theta. Figure a good place to start is at the expected move for October.
Sold NFLX OCT 21 2016 85.0/110.0 Strangles @ 3.30
Up 4 bucks this morning. Never did get another position set…grrr!
Sold IBB DEC 16 2016 260.0 Put @ 7.70
Sold SVXY OCT 21 2016 50.0 Put @ 2.50
Sold SVXY DEC 16 2016 40.0 Put @ 2.25
Sold UVXY OCT 21 2016 25.0/35.0 Bear call spread @ 1.55 (high risk!)
Sold UVXY NOV 18 2016 30.0/40.0 Bear call spreads @ 1.15
Bought to Close SPY NOV 18 2016 226.0/230.0 Bear call spreads @ .38 (sold for .60)
Just missed getting filled on the put side on Friday. Since that didn’t happen I’m taking off the call side for a decent profit.
These daily videos are free…
First, let’s quantify the day yesterday. Yesterday’s nearly 40% jump in the VIX was the 11th biggest VIX daily spike in history. There are 6726 trading days in the VIX so the chance that any given day will be in the Top 11 is 11/6726 or 0.16%. As you can see from the table below 5 of the top 20 biggest daily spikes have happened in 2015 and 2016. There is no other 2 year period with 5 such days in the top 20 – not 2010-11, not 2007-08 and certainly not many before 2007. In fact 14 of the top 20 (70%) are since 2005 when Regulation NMS was passed by the SEC thus giving rise to the High Frequency Traders.
In addition, even though there have been spikes in volatility when the SPX is near an All-Time High, the SPX usually has not lost 50 points in a day this close to an All-Time High. The biggest such day prior to yesterday was -36 points on April 15th in 2013. The other days the SPX lost around -15 points.
Not only was the 50 point loss the biggest this close to an all-time high, but also the drop below the MA50 which is normally a big support level was also rather astounding. There are only 10 instances when the SPX opened above the MA50, dropped below the MA50 and proceeded to lose more than 30 points after that. The average drop through the MA50 is about 7 points with a standard deviation of 10 points. So dropping 36 points below the MA50 is a 3 standard deviation event (3 sigma event or 0.3% occurrence). As you can see most of these have happened during Bear Markets or during some large international crises like in 1997 or in June 2016 (Brexit). For this to happen out of the blue yesterday on no real news is rather astounding.
In fact, the only other day that bears resemblance to this VIX spike is 2/27/2007 which was triggered by a selloff caused by the government of China intervening in the Shanghai market to stop a 10% selloff there.
A Unicorn Day
Yesterday was a day that couldn’t be predicted with any of the usual methods of analysis – fundamental, technical or volatility analysis.
From a fundamental perspective stocks are fully valued, but GAAP earnings are on the way up. Also the US and overall global GDP is on an upswing in Q3. Moderately rising yields in Japan, Europe and the US normally trigger a rotation from expensive defensives to cheaper cyclical sectors. All of these are factors that dampen volatility and make the presence of high volatility days less likely.
From a technical perspective, there was no topping or reversal pattern. Big days like this are preceded by big hesitation, high volume days, some kind of a multi-day topping pattern as well. There are no such patterns to be seen. From support/resistance perspective, we had 3 pretty big support levels at 2160, 2150 and 2135 that should have held but didn’t.
From “trend following” perspective, indeed the Bollinger Bands are tightening and the near-term averages are bunched up, but the slope of these is positive so it is very unlikely for a big down day like this to transpire.
From a “mean reversion” perspective, you really can’t say that yesterday was a “mean reversion” move because the 50MA is the mean. The SPX had mean reverted by going nowhere for 2 months.
From a volatility perspective, volatility has been very calm, I would say too calm, but still this is a 3 sigma event based on the recent volatility profile and 2.5 sigma (2% occurrence) event on a more normal volatility profile. Again something that normally would not happen even if the VIX was in the 15-16 range the day before.
So what was the cause for the selloff yesterday?
I find it hard to believe that a speech by a FED president many people ignore triggered such a massive move. So all of a sudden the market doesn’t listen to Stanley Fischer and Janet Yellen, but it does listen to Eric Rosengren. Really?!? I also don’t really buy the argument that a 0.10% jump in the 10-Year Treasury yield triggered this selloff either. Yields are still at 1.67%, levels the market has traded below in only 143 out 13649 trading days in its history. That would be 99.9895% of the time people bought treasuries at higher yields. The story that you have a bond selloff on the horizon because Japan and Europe think that negative rates are not beneficial is not credible. Central banks may not like negative but they still very much like zero. So rates will go up 25-50% basis points. I am not sure why that would somehow trigger a larger escalation. So forgive me if I don’t think 1.67% 10-Year Treasury yield is a reason for a bond driven stock market selloff. I also don’t buy that North Korea nuclear test is the reason. North Korea has had other such tests, they didn’t trigger large market moves.
The most plausible explanation I have is that the market has traded in that 2160-2190 range for so long that any technical break of these levels will trigger stops, short covering and the algorithmic closing of trades tends to extend the move. What I have a hard time reconciling is that the move would be so extended. Essentially, we got a 1 week worth of selloff in 1 day. The only way I explain the 2.5% drop yesterday and the 5% drop after Brexit is high-frequency traders (HFT) algorithms. Once certain thresholds are broken, they hit kill switches and the liquidity evaporates from the market. For example, the market should’ve rallied at 2160 and 2150 yesterday but after 2150 broke, it was free fall from there.
This is a very disconcerting phenomenon, in my opinion, because it means that high frequency trading hasn’t made the markets more stable. They are more stable until they aren’t. There is a lot of liquidity up to a point and after that liquidity vanishes into thin air. I don’t really know what the fix for that it. So far it seems the SEC and the FED are really behind the ball in regulating the HFTs and making them responsible market participants. Until the FED and the SEC come up with a proper policy for the HFTs, these intraday flash-crashes are something that unfortunately market participants will have to continue to expect. We have had at least 3 of those crashes (Aug 2015, Brexit and yesterday) in a 1 year span – which is kind of amazing. I thought January’s controlled selloff proved that we have put the “flash crashes” behind us but apparently we have not.
Key Market Levels
This September was following the seasonal chart until Friday. Friday was supposed to be a down day and I expected that but it wasn’t supposed to be THAT big of a down day.
I don’t think the selloff that started last Friday will last very long or be very deep. I expect at most a 5-7% drawdown before the election which puts the SPX bottom in the 2035 to 2080 area. This is a typical pre-election drop and given the direction of earnings, with 2017 in mind I think this is an excellent opportunity to buy the dip. If rates are really rising, financials are a good buy here and if rates aren’t rising, what is different than before? Over the next couple of weeks and months, I will be looking to allocate the remaining 50% in the family 401(k) to stocks. If we get to the 2050-2100 area in the SPX, I think this is a really solid area to put money to work for the rest of 2016 and 2017.
SPX will meet serious support at the current 2130 level where the prior ATH was and after that at the 2100 level. The 2100 level where the higher low trendline of February and June is should be tough to overcome. And after that we have the 200MA at 2050 which is a big line in the sand.
Resistance areas on the topside is the 2165 where the 50MA is and 2175 level where the 10-40MAs are.
Filled after the close…
Sold UVXY DEC 16 2016 35.0/45.0 Bear call spreads @ 1.00
These are in an #IRA so I’ll continue adding to this even if it’s in the money. Each spread takes the same margin so might as well get as much as I can for them.
Added another one 50 cents higher…
Sold 1 SVXY DEC 16 2016 45.0 Put @ 2.55
Had a 385/435 strangle for next week. Looked like Ackman had blown it up so I closed the 385 put and sold this week’s 435 and then rolled it to 440.
Long story short…taking stock at 428 basis covering next week’s remaining 435 call.
With portfolio margin I think these expensive stocks are pretty darn good bang for your buck. CMG will require 6400 margin for 100 shares with weekly call premium in the 500-600 range. Thinking just disregard stock basis and hang onto it for a nice weekly dividend. Could own it free and clear eventually.
Just a starter in the #IRA …
Sold 1 SVXY DEC 16 2016 45.0 Put @ 2.05
Originally sold 31.5/34.5/34.5/37.5 for today. Sold for 2.30 so max loss of .70. Managed to get the completely in the money call spread closed for 2.73 this morning. Only lost .43 instead of .70. Tried selling some 50 cent puts but couldn’t get a fill. Not worth the risk at this point.
Still a great earnings season! What’s next on the list?
Putting on a trade way out of my comfort zone but seems reasonable. Goal is to take advantage of IV increase into earnings while offsetting time decay.
Bought to open Sep 30 54.5/58.0 strangle
Sold to open Sep 23 54.5/58 strangle
Plug this into TOS and give it a 14 percent volatility increase into earnings week. Pretty wide breakeven/profit window. If IV increases by more than 14 percent window becomes wider…
Possibly…still watching for now. 3 wide iron fly @ 2.25. Risk 75 to make 225…
Sold TLT OCT 21 2016 133/145 Strangles @ 1.06
Had a nice 385/435 strangle for next week that was winding down quite nicely (sold for 5.70). Still looks decent but I’m gonna jump on the bullish Ackman train (gulp!). Closing next week’s put and selling a higher put this week for additional credit. Hoping to get long the stock to turn next week’s call into a covered position…
Bought to Close CMG SEP 16 2016 385.0 Put @ .40
Sold to Open CMG SEP 9 2016 435.0 Put @ 5.20
If this week’s put expires I’ll sell it again next week. If the stock continues up I’ll have to look at rolling the call and continuing to sell aggressive puts to get long. Total premium received so far of 10.90…
Bought to Close SVXY SEP 16 2016 50.0 Puts @ .10 (sold for 1.20)
With IV this high seems like news could be coming any day…booking this one.
Bought to Close SRPT SEP 16 2016 12.0/10.0 Bull put spreads @ .12 (sold for .80)
Must have an event coming up since IV’s are through the roof. Sept 12/10 BuPS looking good so thinking about reloading something. Unfortunately Oct only goes down to 13 strike. Still…a 13/43 strangle is going for over 4 bucks. I’ve seen Iceman selling some strangles in it. Anybody else trading it?
Another new one for me…since my positions are small I think I’m ok with slightly higher commissions vs greater liquidity in SPY. This trade was suggested yesterday at .51 so I guess .60 is ok. Plan is to leg into iron condor at some point.
Sold SPY NOV 18 2016 226/230 Bear call spreads @ .60
Trying to expand my trading horizons with pretty low risk.
Sold GS OCT 7 2016 175.0 Calls @ 1.35
Selling these against Jan 2018 long straddles. At a minimum should be able to sell enough short term calls to cover max loss on the straddles. With delta 80 long calls I can take advantage of any up move.
Rolled 18 strike inverted calls out to Sep monthly 18.5 for .15 credit. These are inverted against Oct monthly 26 puts at a 3 to 2 ratio (more calls than puts). Gives overall position right now of a slightly short delta. Small margin required and pretty stable on any big moves.
Goal is to get un-inverted at some point. Still preserving a few K of gains that initially were huge losses with ITM short calls back during the NUGT run from about 50 to 170.
Out of 2165/2170/2170/2175 iron fly with .20 loss…half of max loss of .40. All clear for afternoon selloff now! Probably would’ve been worth the .20 risk just to stay in. We’ll see..
Treating the jobs report as an earnings report. Sold tomorrow’s 2165/2170/2170/2175 iron fly @ 4.60. Risk 40 to make 460…13 point expected move. Low probability….
After using weekly call premium to buy in some DITM puts I’ve got room to roll down and add a contract to get a better lowering of the strike. Taking advantage of the little pop today.
Rolled Sep 31 and 32 puts to Oct 26 puts at 2/3 ratio getting 1.50 credit. (bought 2 and sold 3). This increases my max loss if NUGT goes to zero tomorrow but I’m planning on buying those 2 extra ones back in at some point. I’ll slightly over write the calls for the next few weeks…
http://bigstory.ap.org/article/92dd9cd24d6444c4a93855dd25e6d0c1/explosion-rocks-spacex-launch-site-florida-during-test
Here ya go Mort…even though I’m not 100 percent comfortable with it, it would cover another month of fees. LOL Keeping her on a tight leash. 200ma is my line in the sand.
Sold WYNN Sep 30 2016 75/80/103/108 iron condors @ .88
Jumping back in after being out a few months… #IRA
Sold IBB Dec 16 2016 250 Put @ 5.70
Options Bistro 