Hey everyone, my dad has been having some serious health issues where I’ve found myself called to the hospital on a moment’s notice, a couple times. So my trading is more position-oriented now, less active, longer term focus, until I get past this. I’m still trying to read everyone’s posts as I can! I was sad to miss the 3-in-5 trigger a week ago.
Hi Everyone! Hope you’ve had a good week! This has been a rest and reset week for me. Ditching #Saf-T trades and back to #AtomicFuzzy for me. The atomics are good for higher vol environments. When vol drops back down below 13-14, then regular fuzzy will work.
Just wanted to pop in and say today will bring 2-of-5 1-standard deviation moves up. Looking for that 3rd. The last signal we got was May 10 and about a 95 pt rally ensued. Mon/Tue/Wed are all candidates for a signal.
My mind is ruminating on the flaw of this strategy (rolling calls down to ATM with fewer contracts). I’m out running an errand, but my mind is telling me there is a flaw tied to low delta on the longer dated long calls. Just wanted to toss out a caution. I’ll explore when I’m back in the office.
I’ve got about 50 filled orders today on hedge rolls. If anyone is tracking details on a particular position, let me know.
My go-to strategy on these #Undies is to roll hedges to ATM for significant premium collection BUT reduce contracts sold. On BA I started with a 7×5 and rolled it to a 7×3 now. I realized I can collect a lot of premium doing that, but still have a risk graph that is friendly to an upside reversal.
That’s all I’m going to post due to vast quantity of orders today.
A lot of trades today, rolling down short calls. I started the week this morning with $22,516 in short call premium to collect. That provided a cushion for today, but of course it’s not a 100% hedge.
1. AMZN rolled the 1745 calls down to 1720 for this week, collecting $1661 on the original calls and another $7.25 on the new one.
2. Closed the SPX #UndieBear for $5090 profit, if you add Thursday’s $1290 profit onto this, that’s $6380 in 3 days. This was a small 2×1.
3. GS and QQQ: got the butterfly fill on my Put In/Out trades from about 10 days ago. This locks in partial profit and cuts risk on them. I start with a skip-strike in-and-out spread, then look to butterfly it w/ a broken wing for half the price of the first spread.
4. MU rolled down calls from 62 to 57.5 (25 delta) for $1523 profit on the original ones and an add’l $376 on the new.
5. TSLA closed out the put fly and put spread for around $80 profit I think, wanted to simplify book this morning.
6. SPY #Saf-T rolled Wed calls out to next wed, collected $1536 on this week’s calls. My protective puts on #Saf-T are up a collective $32,800. They are sentries for me right now.
7. MCD added a put diag to my #Undie to balance deltas and bring in some premium for next week, cuts risk.
Don’t get me wrong, big losses across the board here, but all these trades are easy for keeping your head on straight. Just collect the hedges and reset.
SPX: The first trade I got off at the open was a new #UndieBear Aug 2785p x2 @52.00 Jun 29 2750p x -1 @ $10.80. No profit ceiling on a downside move.
CVX: Rolled calls into strength from jun 22 to jun 29, netted $330 on roll of 3 calls. Jun 29 126 @ 1.68.
IWM: I have a #Saf-T on this with short calls at 168.50…so dancing around the roll on this to get as much premium collection as I can.
LMT: The bulk of my calls were rolled on Wed, but I have two stragglers that I will let expire and sell new near the close (naked for an hour).
Oh, RHT: I got cute on the dive last night and bought 100 shares @ 150 expecting a snap back. So now I have a #CoveredCall . Sold Jun 29 $150 call for $1.10.
That’ll be about it for today.
IWM rolled Jun 22 168.5 to Jun 29 168 (went down, itm). Netted $494 on a 13-lot.
I ended up keeping 82% of premium sold for this week: Collected 17,917, kept 14,722.
Oh, almost forgot. The #Fundie maybe not so bueno. Rolled down calls for jun 29 on NVDA/ADBE/BABA to collect some add’l premium for next week. Kept same expiration.
1. SPX #UndieBear I just took $1290 profit in one day. This is a highly responsive trade to the combo of vol increase and price decrease. Market Profile is showing a developing 45 degree line for today, meaning folks are getting short in the hole. So decided to take profits. (Whoops scratch that on the 45 degree line, it looked like it was holding as support, but it broke)
2. Was at the hospital all day so took off the AMZN “vol fly” at the open so I wouldn’t have to manage it. Saw an $88 loss. I slipped in the close order before the drop in AMZN…it would have been fine in my fly range, but would have had some short term pain on it.
3. New AMZN trade: AMZN/XLY #DoubleRatioUndie AMZN is too expensive to double-undie, so I’m using XLY as a proxy for the put side. AMZN: Aug 1700c email@example.com/Jun 29 1745c x-1 @19.30 XLY Aug 113 p x10 @2.93/June29 111p x -8@.63. The XLY side removes about 20% of the risk on the AMZN side.
4. TQQQ roll #Saf-T : Rolled Jun 22 to Jun 29, netted $4660 on the Jun 22’s. Rolled same qty but dropped to 62.5’s for 1.38.
5. Added an MU #DoubleRatioUndie at the open this morning: Sep 57.5c x10 @7.65/Jun 29 62c x -8 @1.39, Sep 62.5p x 2 @5.35/Jun 29 60 p x -1 @1.15. Max loss about $4800, gain at $62 next week is $1302. Premium sold for next week = 16% of risk.
Only two things left to manage tomorrow: CVX and IWM.