SPXL Leap Diagonal

BTO SPXL (3 x SPY ETF) Apr 2021 50 Call ($17.30) / Jan 2023 40 Call ($29.40) Diagonal @ $12.10 (selling the shorter term, buying the longer term) – a $10 spread with good rolling opportunities.

I know most of the trade ideas here are for short to mid term time frames – I thought I’d share a longer term bullish trade that should be relatively easy to manage. As SPY is going to the moon I thought I’d go along for the ride.

I’m cognizant of the fact the theta decay could be huge, but over the longer term expecting it to roughly track 3 x the performance of the S&P 500.

TSM BWB

BTO TSM Nov 20, 95 / 90 / 80 Broken Wing Put Butterfly @ $1.09 credit

#BWB 

ROKU BWB adjustments

Original trade: BTO Oct 16, 175 / 185 / 200 Broken Wing Call Butterfly for $0.07 debit.

Adjustment 1: Rolled the short Oct 16 185 / 200 leg to the Oct 23, 200 /215 short call spread. With ROKU on a charge need to go to the next adjustment.

Adjustment 2: Rolled the short Oct 23, 200 /215 short call spread to Nov 20, 215 / 230.

Adjustment 3: STC Oct 16, 175 /185 long call spread @ $9.83 (not sticking around for those remaining $0.17).

With ROKU still moving on up need to go to the next adjustment.

Adjustment 4: Roll the short Nov 20, 215 / 230 to Jan 21, 245 / 260 @ $2.00

So banked $9.83 from the sale of the long call spread of the BWB, and paid $2.00 (plus the original roll cost) to roll out the short leg to Jan 21. All in the name of providing a cover to the core trade which is the Jan 22, 140 / 190.

Big question is when to offset the short call spread with the short put spread? Pulling the trigger on that side of the strategy normally causes the trading gods to engineer a rapid downward move.

#BWB 

ROKU BWB

Since many months sitting on a ROKU Jan 2022, $140 / $190 Bull Call Spread (cost $13). Looking for ways to sell premium against that spread, this BWB does the trick with the $175 / $185 leg of the BWB 100% ITM, happy to keep rolling the short call spread side $185 / $200 as often as it takes.

$ROKU BTO Oct 16, 175 / 185 / 200 Broken Wing Call Butterfly for $0.07 debit.

Breakeven on the upside at $185. $0.07 of downside exposure.

#BWB 

BA BWB

$BA BTO Oct 16, 160 / 165 / 175 Broken Wing Call Butterfly for $1.11 credit.

Breakeven on the upside at $171. No downside risk (keep credit).

#BWB 

FB Batman BWB

$FB BTO Oct 16, 245 / 255 / 270 Broken Wing Call Butterfly for 0.53 debit.

$FB BTO Oct 16, 250 / 240 / 225 Broken Wing Put Butterfly for 0.30 debit.

Upside / Downside Breakeven at $264 / $231.

#BWB 

EWZ extension

I love the issuance of new LEAPs. The process of price discovery is in its infancy, and nobody quite understands fair value (I certainly don’t!). An EWZ ATM 7 DTE straddle (my selling vehicle du jour) can generally be sold for roughly $1.25.

If I look at my current asset to sell straddles against – the Jan 2022 $27 call / $37 put strangle which cost $16.70, I just closed that out for $16.10 and then BTO the Jan 2023 same strike strangle @ $18.75.

So I get 52 weeks additional selling opportunities at around $1.00 (being conservative) for an extra $2.65. That seems to imply that 3 winning weeks of straddle sales pays for the strangle extension.

Maybe XMAS does come early?

PYPL UNH BWB

$PYPL BTO Oct 02, 190 / 185 / 175 Broken Wing Put Butterfly for 0.69 credit.

Breakeven on the downside at exp $179. No upside risk (keep credit).

$UNH BTO Oct 02, 315 / 310 / 300 Broken Wing Put Butterfly for 1.01 credit.

Breakeven on the downside at exp $304. No upside risk (keep credit).

#BWB 

SPX Iron Condor

Sold $SPX Sep 21: 3260 / 3280 – 3500 / 3520 Iron Condor @ $5.15

Call it Fat Finger Freud – I meant to sell the October 02 strikes! I was thinking of the SPX calendars I was in the process of selling using the Sep 21 strikes. But hey, “The best laid schemes o’ mice an’ men / Gang aft a-gley.”

#IronCondor

SPX calendar

Sell Sep 21 / Oct 05 $3400 SPX call calendar @ $26.45 debit.

ABBV – Oven Baked Election Proof

#sleepatnight

BTO ABBV stock @ $92.19 
STO ABBV Nov: 90 call @ $5.25

BTO ABBV Jun 2022: 120 put : @ $38.42

ABBV pays a $4.72 per share dividend (5.1% yield).

For the $120 protective put you are paying (92.19 + 38.42) – 120 = $10.51 premium. The first call sale ($5.25) pays off 50% of that premium.

EWZ

#DiagonalButterfly

BTC EWZ Sep 04 $30.5 call @ $1.01 (sold for $0.89);

0.5 x EWZ Sep 04 $30.5 put expired worthless (sold for @ $0.51)

0.5 x EWZ Sep 04 $30.0 put expired worthless (sold for @ $0.58)

STO EWZ Sep 11 $31 straddle @ $1.65

Cover is EWZ Jan 2022 long strangle $27 call / $37 put – which is showing a small profit.

IBB

#DiagonalButterfly

IBB @ $129.28

BTC Sep 04: $133 straddle for $5.63 (originally sold for $3.94).

STO Sep 11: $130 call @ $1.15

STO Oct 02 : $130 put @ $5.73

Cover is IBB Jan 2022 : long strangle $115 call / $150 put @ $53.74

MSFT

Sold MSFT 1 x 3 x 2 SEP 25 2020: 230 / 225 / 220 PUT Unbalanced Butterfly @ 1.35 credit.

No risk to the upside. Downside breakeven point @ $222.

Adjustment plan when (if) MSFT goes lower, close out the 1 x 230 / 225 put spread for a credit, add a 2 x upside call credit spread to match the leftover 225 / 220 put spread, creating an Iron Condor.

#UnbalancedButterfly

SEDG scalping

#UnbalancedButterfly Original trade was STO SEDG 1 x 3 x 2 SEP 18 2020: 210 / 200 / 190 Unbalanced Put Butterfly @ $2.68 credit.

SEDG is currently @ $220. Looking to take off the 1 x 210 / 200 long put spread, and then layer on a Bear Call spread to create an Unbalanced Iron Condor (1 x 200 / 210 : 2 x 230 / 240).

STC SEDG 1 x SEP 28, $210 / $200 long Bull put spread @ $2.90

STO SEDG 1 x SEP 28, $240/ $230 Bear Call spread @ $2.90 (yes, same prices)

Total credit received so far ($2.68 + $2.90 + $2.90) is $8.48.

Original trade link: https://wp.me/p6Nxuc-jFO

BA

#CallsInsteadOfStock

BA @ $171.90

BTO BA Dec 18 $160 / $190 Long Call Vertical @ $12.20 (position $11.90 ITM at kick-off)

STO BA Sep 18 $165/$160 Bull Put Spread @ $1.79 (half sale).

PFE

#CoveredStrangle

BTO PFE @ $37.73

STO Oct 02; $35 / $40 strangle @ $0.73

Happy to double down @ $35 and then sell calls.

WSM

Been sitting on a Sep 18 $100/$110 call credit spread sold for $2.14 credit, waiting patiently to fill the put credit spread when(if) WSM pulls back after its insane run up since March (3x) and latterly into earnings. The tyres were kicked last night and found wanting – just the opportunity to take the Sep 18 $85/$75 put credit spread sold for $1.14 – so credit of $3.28 for the Iron Condor.

#ironcondor

IBB – Parking Cash

#DiagonalButterfly

BTO IBB Jan 2022 : long strangle $115 call / $150 put @ $53.74
STO IBB Aug 28: $133 straddle @ $5.34

Excess premium bought $53.74 – $35 = $18.74, so hunting down that amount through straddle / strangle sales until Jan 2022. I setup the original trade on 18 August.

With IBB hovering around the $133 strike and 2 DTE, thought I’d drive the rolling process, rather than be driven – so rolled early:

BTC Aug 28: $133 straddle @ $2.30 (originally sold for $5.34)

STO Sep 04: $133 straddle for $3.94.

Credit generation campaign

Short term straddle/strangle trades for cost reduction purposes on the corresponding long dated long strangles:

0.5 x EWZ Aug 28: $30 short straddle @ $1.20

0.5 x EWZ Aug 28: $29.5 / 30.5 short strangle @ $0.77 (is the $0.43 cushion versus the straddle sale any comfort?).

XLF Sep 04 $24.5 short straddle @ $0.90 – giving myself more time to adjust.

XLU Sep 04 $60 short straddle @ $1.53

Market makers playing hard to fill for the MDLZ strangle so I am closing that out and replacing with an IBB LEAP strangle.

SPX Risk Reversal

  • a la RandomWalk (but not sure whether the name fits this type of trade!)

Combine a close to the money Broken Wing Put Butterfly (debit trade) with an OTM unbalanced 1 x 3 x 2 Call Butterfly (credit trade) adjusting the strikes of the two trades to place it for as close to zero cost as possible.

Sept 21 weeklies: 3420 / 3400 / 3385 Put Butterfly @ $2.55 debit

Sept 21 weeklies: 3500 / 3510 / 3520 unbalanced Call Butterfly (1 x 3 x 2) @ $2.39 credit

Only risk to the downside is the debit paid ($0.16). Upside breakeven is around 3514. Two profit peaks (bigger one @ $3400, smaller one close to $3500.

But it makes more sense looking at the risk profile:

#riskreversal

XLK

#DiagonalButterfly

XLK @ $118.18

BTC $XLK Aug 21: $110 short straddle @$7.65 (originally sold @ $6.70)

Scaled into additional LEAP strangles earlier in the month, so layered on additional short terms straddle sales

BTC $XLK Aug 21: $115 straddle @$2.65 (originally sold for $4.41).

This turned the Aug 21 set of straddle sales into a profit.

STO $XLK Aug 28: $117.5 straddle @$2.94

Cover is the Jan 22: $90 call / $125 put long strangle @ $50

MDLZ

#DiagonalButterfly

MDLZ @ $57.47

BTC MDLZ Aug 21 $56.0 short straddle @ $1.70 (originally sold for $1.03)

Assess on Monday, but planning to move to strangle rather than straddles sales and 14 DTE.

Cover is the Jan 2022 long $40 put / $65 call strangle.

XLF vs. FAS

XLF @ $24.36

BTC XLF Aug 21 $25 short straddle @ $0.68 (originally sold for $1.02)

Cover is the Jan 2022 15 PUT / 30 CALL long strangle @ $ 1.56

New set of straddles for XLF to be sold on Monday.

FAS @ $36.38

BTC FAS Aug 21 $40 short straddle @ $3.70 (originally sold for $3.34)

STO FAS Sep 04 $36 short straddle @ $3.29

Cover is the FAS Jan 2022 20 PUT / 70 CALL long strangle @ $ 10.28

It’s early days but I’m expecting FAS volatility to be too high for this strategy. I’ve already moved to selling 14DTE for FAS, the next modification will be selling strangles rather than straddles.

#DiagonalButterfly

EWZ

#DiagonalButterfly

BTC EWZ Aug 21 $31.5 straddle @ $1.96 (sold for $1.48)

With last Monday’s sharp decline on EWZ I used the opportunity to add to my long LEAP strangles and then made a corresponding weekly straddle sale at the lower ATM strike ($30) – this turned the combined set of weekly sales into a profit:

BTC  EWZ Aug 21 $30 straddle for $0.49 @ (sold for $1.29)

Cover is EWZ Jan 2022 long strangle $27 call / $37 put.

Gut feeling told me to hold off from selling the new set of weekly straddles until I see how the market unfolds on Monday.

KLAC

#IronCondor – BTC KLAC SEP 18, 2020: 230 / 220 – 175 /165 Iron Condor @ $2.15 (originally sold for $3.78). Worth it for the 10 day holding period.

 

NVDA closed

#Earnings BTC $NVDA 455/460-525/530 iron condors for $0.15. Sold yesterday for 1.75.

This was my first Jeff follow. Now I’m a Believer.

IRBT BWB

 $IRBT STC Aug 21, 80 / 75 / 65 Broken Wing Put Butterfly for $2.55 credit (trade entered for a $0.78 credit), so $0.78 credit on the way in and + $2.55 credit on the way out making for a total gain of $3.33.

Although IRBT was approaching max profit on the trade, expiring this Friday, humility for once urged me to take the profits now.

Original entry with comments

MDLZ

#DiagonalButterfly

BTC MDLZ Aug 14 $55.0 short straddle @ $1.20 (originally sold for $1.21)
STO MDLZ Aug 21 $56.0 short straddle @ $1.03

I’ve noticed that the bid/ask spread on the calls is outrageous and very difficult to get filled without giving up too much. If this continues I will shut down this particular set.

Cover is the Jan 2022 long $40 put / $65 call strangle.

EWZ

#DiagonalButterfly

BTC EWZ Aug 14 $31.5 straddle @ $0.58 (sold for $1.46)

STO EWZ Aug 21 $31.5 straddle @ $1.48

Cover is EWZ Jan 2022 long strangle $27 call / $37 put

LRCX – Unbalanced Condor

LRCX @ $376

BTO 1 x LRCX Aug 21: $375 /$370 long PUT Vertical @ $ 2.60 debit
STO 2 x LRCX Aug 21: $360 / $355 short PUT Vertical @ $1.27 credit (x 2)

Total debit of $0.05 for the unbalanced Condor. Downside breakeven is around $358. No risk to the upside (just the $0.05 cost of the trade).

If LRCX starts imploding then throw on a long PUT diagonal (e.g. -1 Aug 21 $355 / +1 Aug 28 $355) at around $2, which drops the downside breakeven to $346.

Risk/Reward extremely enticing.

#UnbalancedCondor

XLF vs. FAS

XLF @ $25.70

BTO XLF Jan 2022 15 PUT / 30 CALL long strangle @ $ 1.56 to be financed by the selling of weekly straddles/strangles:
STO XLF Aug 21 $25 short straddle @ $1.02

FAS @ $39.93

BTO FAS Jan 2022 20 PUT / 70 CALL long strangle @ $ 10.28
STO FAS Aug 21 $40 short straddle @ $3.34

It’s kind of like an alternative Pairs trade – I’m pitting XLF against FAS (the 3X long financial ETF). Whichever one is easier to manage in relation to the returns that can be had gets more funds. The other gets cut loose.

Based on the opening trades either I have gone mad or the market makers have gone crazy (and I know the MMs never go crazy!). That relative premium between the core position and the short term sales is outrageous.

#DiagonalButterfly

KLAC

#IronCondor – Sold KLAC SEP 18 2020 230 / 220 – 175 /165 Iron Condor @ $3.78. KLAC currently trading @ $203.

SEDG

#UnbalancedButterfly – Sold SEDG 1 x 3 x 2 SEP 18 2020 210 / 200 / 190 Unbalanced Put Butterfly @ 2.68 credit.

A starter position on the basis I will be wrong until proven otherwise, whereupon I will add to the position.

It’s useful to look at the Unbalanced Butterfly as the combination of a 1 x long put spread and a 2 x short put spread.

Adjustments down the road: all the risk is to the downside. If SEDG drops below $200 then I cash out the long put spread and use those funds to roll the 2 x short put spread down and out.

MDLZ

#DiagonalButterfly

BTC MDLZ Aug 07 $55.0 short straddle @ $0.66 (originally sold for $1.18)
STO MDLZ Aug 14: $55.0 short straddle @ $1.21

Option Gods teaching me the meaning of gamma with these weekly straddle sales!

Cover is the Jan 2022 long $40 put / $65 call strangle.

EWZ

#DiagonalButterfly

BTC EWZ Aug 07 $32 straddle @ 0.77 (sold for $1.38)

STO EWZ Aug 14 $31.5 straddle @ $1.46

Cover is EWZ Jan 2022 long strangle $27 call / $37 put

EIX – Parking More Cash

#suecollar #sleepatnight

BTO EIX stock @ $53.54 
STO EIX Sep 18: 52.5 call @ $3.40

BTO EIX Jan 2022: 70 put : @ $21.76

EIX (Edison International) currently pays a $2.55 per share dividend (4.7% yield).

For the $70 protective put you are paying (53.54 + 21.76) – 70 = $5.30 premium. That first call sale goes a long way on the cost reduction process.

Thanks Sue (and many others) for all the ideas on conservative trades that can generate a reasonable income with upfront protection.

EWZ – Parking Cash

#DiagonalButterfly

BTO EWZ Jan 2022 : long strangle $27 call / $37 put @ $16.70
STO EWZ Aug 07: 32.0 straddle @ $1.38

Classic Hedge Fund trick. The long strangle has 526 DTE. Back of the envelope calculation 526 / 7 = 75 weekly option expirations left. Guaranteed $10 when closing out the long strangle in Jan 2022. So $16.70 – $10.00 = $6.70 to finance in weekly sales. Just sold week 1 for $1.38 . Four more similar weeks and that’s a zero cost strangle.

Will be closing out the previous EWZ September 2020 strangle.

MDLZ

#DiagonalButterfly

BTC MDLZ July 31: 55.0 short straddle @ $0.52 (originally sold for $2.17)
STO MDLZ Aug 07: 55.0 short straddle @ $1.18

Premium seems to be dropping off pretty fast on this one – but sticking to the system.

Cover is the Jan 2022 long 40 put / 65 call strangle.

EWZ

#DiagonalButterfly

BTC EWZ July 31: 32.5 straddle @ $0.08 (originally sold for $1.55)
STO EWZ Aug 07: 32.5 straddle @ $1.65

The short straddle is covered by a long EWZ Sep 18: 24 put / 30 call strangle.

MDLZ

#DiagonalButterfly

BTC MDLZ July 24: 53.5 short straddle @ $1.38 (originally sold for $1.38)
STO MDLZ July 31: 55.0 short straddle @ $2.17

Cover is the Jan 2022 long 40 put / 65 call strangle.

EWZ

#DiagonalButterfly

BTC EWZ July 24: 31 straddle @ $1.54 (originally sold for $1.40)
STO EWZ July 31: 32.5 straddle @ $1.55

Standstill on premium income, but the Sep 18 $30 long call moves further ITM

The short straddle is covered by a long EWZ Sep 18: 24 put / 30 call strangle.

CINF

BTC August 21, 50 puts at $0.30, sold at $2.00

Hat tip @optioniceman

XLK DiagBFly

#DiagonalButterfly

BTO $XLK Jan 22: $90 call / $125 put long strangle @ $50
STO $XLK Aug 21: $110 short straddle @ $6.70

Minimum cash out value of the LEAP strangle is $35. Whatever happens I get to keep the $6.70 for the first (aggressive) sale of a straddle, so that leaves ($50 – $35 – $6.70) = $8.30 to finance over the next 550 days or $0.015 per day.

Given the volatility of the underlying it will be a roller coaster ride, but doable.

On this kind of trade I want to get the max premium out of the first sale (hence the straddle sale) – recognizing that an aggressive roll will be needed on one of the sides. For sure with XLK, future short term sales will be strangles not straddles.

MDLZ DiagBFly

#DiagonalButterfly

BTC MDLZ July 17: 51 short straddle @ $3.18 (originally sold for $1.50)
STO MDLZ July 24: 53.5 short straddle @ $1.38

MDLZ showing some strength, may have to move to selling short term strangles rather than straddles.

Cover is the Jan 2022 long 40 put / 65 call strangle.

EWZ DiagBfly

#DiagonalButterfly

BTC EWZ July 17: 30 straddle @ $1.26 (originally sold for $2.04)
STO EWZ July 24: 31 straddle @ $1.40

So far so accommodating with EWZ remaining in a nice channel. Premiums are coming down (obviously with a lower VIX), so I will look to roll the Sep 18 long strangle to Jan 22 to extend the selling opportunities.

The short straddle is covered by a long EWZ Sep 18: 24 put / 30 call strangle.

MDLZ DiagBFly

#DiagonalButterfly

BTC MDLZ July 10: 51 short straddle @ $0.83 (originally sold for $1.32)
STO MDLZ July 17: 51 short straddle @ $1.50

Learnt not to wait until OpEx Friday to manage these weekly options. Getting lucky so something is about to happen.

Cover is the Jan 2022 long 40 put / 65 call strangle.

EWZ DiagBfly

#DiagonalButterfly

Early management of the short sale, taking profits & rolling out to sell some additional premium

BTC EWZ July 10: 30 straddle @ $1.30 (originally sold for $1.90)
STO EWZ July 17: 30 straddle @ $2.04

The short straddle is covered by a long EWZ Sep 18: 24 put / 30 call strangle.

MDLZ DiagBFly

#DiagonalButterfly

BTC MDLZ July 02: 52.50 short straddle @ $0.82 (originally sold for $2.38)
STO MDLZ July 10: 51 short straddle @ $1.32

Selling weeklies for the moment, but may lengthen the time period to reduce screen staring time.

Cover is the Jan 2022 long 40 put / 65 call strangle.

EWZ DiagBfly

#DiagonalButterfly

BTC EWZ July 02: 28 straddle @ $2.31 (originally sold for $1.89)
STO EWZ July 10: 30 straddle @ $1.90

Tried to get clever by adding the new straddle late yesterday and hoping to close out the Jul 02 ITM short call at a smart price today – Wrong!

The short straddle is covered by a long EWZ Sep 18: 24 put / 30 call strangle.

EWZ DiagBFly

#DiagonalButterfly

BTC 1 EWZ June 26: 30 short straddle @ $1.91 (originally sold for $1.79)
STO 1 EWZ July 02: 28 straddle @ $1.89

The short straddle is covered by a long EWZ Sep 18: 24 put / 30 call strangle.

This setup appears to be pretty forgiving. One side always expires worthless, so I just buyback the side that is ITM. Let the OTM side expire worthless. Then re-establish a new weekly straddle.

Only problem is that the trade is so boring one starts to lose interest quickly. Long Live Boring!

EWZ DiagBFly

#DiagonalButterfly

BTC 1 EWZ June 19: 31 short straddle @ $1.37 (originally sold for $2.14)
STO 1 EWZ June 26: 30 straddle @ $1.79

The short straddle is covered by a long EWZ Sep 18: 24 put / 30 call strangle.

IRBT BWB

#BWB $IRBT BTO Aug 21, 80 / 75 / 65 Broken Wing Put Butterfly for 0.78 credit.

CINF

#ShortPuts – Thanks @optioniceman !

Sold CINF Aug 21 2020 50 Puts @ 2.00

MDLZ DiagBFly

#DiagonalButterfly

$MDLZ @ $52.74
BTO 1 MDLZ Jan 22: 40 Put / 65 call long strangle @ $4.65
STO 1 MDLZ July 02: 52.50 short straddle @ $2.38

Going aggressive on the first sale, bringing in over 50% cost of the long strangle emergency covers.

583 days left to sell more premium.

EWZ DiagBFly

#DiagonalButterfly

$EWZ @ $30.39 (exact same price as last Friday!)
BTC 1 EWZ June 12: 30 short straddle @ $0.37 (originally sold for $1.84)
STO 1 EWZ June 19: 31 straddle @ $2.14

The short straddle is covered by a long EWZ Sep 18: 24 put / 30 call strangle.

EWZ DiagBFly

#DiagonalButterfly 

Rolling the short straddle early due to the strong upward momentum.

$EWZ @ $30.39
BTC 1 EWZ June 05: 27 short straddle @ $3.55 (originally sold for $1.62)
STO 1 EWZ June 12: 30 straddle @ $1.84

The short straddle is covered by a long EWZ Sep 18: 24 put / 30 call strangle.

Now it becomes interesting. The strong move perhaps came earlier than I would have liked, but the long Sep $30 call is now ITM. That has come at a cost of some debit rolls, but the credits will come further down the timeline.

$BIDU DiagonalBFly

#DiagonalButterfly 

$BIDU @ $103.80
Original trade:

Sold to open 1 BIDU May 29 108 short straddle @ $3.78
Bought to open 1 BIDU Jul 02 100 put / 115 call strangle @ $5.29
Net debit trade of $1.51

With BIDU moving down, need to roll the put side of the 108 short straddle

Rolled to the Jun 05, 105 short put for a debit of $0.92 – however, improving $3 in position.

Will let the May 29, 108 short call expire worthless and willing to take the risk by already opening the new short call leg to complete the $105 short straddle:

STO BIDU Jun 05, $105 call @ $2.20

The original Diagonal Butterfly was put on for a debit of $1.51, so the overall position now is in credit for $0.69.

EWZ DiagBFly

#DiagonalButterfly 

$EWZ @ $27.26
Sold to open 1 EWZ June 05: 27 short straddle @ $1.62
Bought to open 1 EWZ Sep 18: 24 put / 30 call strangle @ $2.93
Net debit trade of $1.32

#DiagonalButterfly #Option Iceman $BIDU @…

#DiagonalButterfly #Option Iceman

$BIDU @ $107.75
Sold to open 1 BIDU May 29 108 short straddle @ $3.78
Bought to open 1 BIDU Jul 02 100 put / 115 call strangle @ $5.29
Net debit trade of $1.51

Should get a number of tries until July to sell very short term straddles.

I may look at another underlying to also pay down the debit.