May be a bit early but stock is up over 6% today (at 86.67) and looking like it’s bouncing off the lows. Sold $FSLY 2/19 80/70 bull put spread @ 3.62. Short puts 34 delta.
Recent Updates Page 165
NVDA
#ShortPuts – Taking this a month early for a one day trade…
Bought to Close NVDA FEB 05 2021 450.0 Put @ 1.84 (sold for 4.40)
TQQQ, Getting filled early. BTC…
TQQQ, Getting filled early. BTC January 15, 65 puts at .02, sold at 4.70
TDOC
#ShortPuts – Taking it a couple weeks early on the big up move…
Bought to Close TDOC JAN 22 2021 180.0 Put @ .40 (sold for 3.70)
SPX trades
#SPX7dteLong Sold to close $SPX Jan 8th 3700/3720 call spreads for 19.70. Condors bought on Monday for 17.60. Put spreads remain as a hedge for tomorrow.
Skipping #SPX1dte for tomorrow as premium is low and #Jobs report is in the morning.
SNOW
#ShortStrangles – I may regret this but going way more directional than normal. Rolling put side into the money giving the short call some more protection.
Rolled SNOW JAN 15 2021 290.0 Put to JAN 15 2021 330.0 Put @ 25.75 credit.
Position is now 330/345 @ 35.90
Worse case stock is assigned at 294.10. If the stock rolls over from here I’ll probably roll the call down to set up a short straddle and reduce assignment basis by a little more.
SPX 7-dte
#SPX7dteLong Bought to Open $SPX 3775/3795-3805/3825 iron condors for 16.10, with SPX at 3802.
LAZR
#ShortPuts – Adding some more…
Sold LAZR JAN 22 2021 27.0 Puts @ 1.30
TDOC BuPS
Strong move today. Sold $TDOC 2/19 200/190 bull put spread @ 2.53. With the short puts at 25 delta, right at support.
TSLA
Crosses above 800 !!
#coveredcalls AAL Sold Jan. 15,…
#coveredcalls AAL
Sold Jan. 15, 17 call for .15, stock at 15.73, basis is 15.11
VXX Calls
Bought to close VXX Jan 08 2021 24.0 Calls at $0.01. Sold these on 12/29 at an average of 0.24.
Bought to close VXX Jan 08 2021 23.0 Calls at $0.01. Sold these on 12/29 at an average of 0.27.
LAZR
#ShortPuts – Stock is up but IV rank still pretty high. Starter position hoping to add at some point. Doing this while tastytrade does a segment on the disadvantages of short term options. LOL!
Sold LAZR JAN 15 2021 28.0 Puts @ .80
LAZR
#ShortPuts – Bought to Close LAZR JAN 8 2021 28.5 Puts @ .05 (sold for 1.80)
TQQQ, BTC January 8, 130…
TQQQ, BTC January 8, 130 puts at .02, sold at 2.01
That is all I have for this week.
VXX Calls
Bought to close VXX Jan 08 2021 25 Calls at $0.01. Sold these on 12/29 at an average of 0.22.
TQQQ, BTC January 8, 115…
TQQQ, BTC January 8, 115 puts at .02, sold at 2.65
TQQQ, STO January 2022, 50…
TQQQ, STO January 2022, 50 puts at 5.55
NVDA pre earnings
#ShortPuts – Big down day 30 days prior to the week before earnings and a defined support level. Favorite pre earnings setup. Selling outside the expected move and down near the 200ma and the week before earnings.
Sold NVDA FEB 05 2021 450.0 Put @ 4.40
SPX trades
#SPX7dteLong Sold to close $SPX Jan 6th 3735/3755 call spreads for 19.00. Condors bought for 17.05 on 12/29.
SPY long Calls
Taking a gain on the long side of the diagonals I have been writing for the last month and rolling it up and out a month.
Sold to Close SPY Jan 15 2021 370.00 Calls at $8.61. Bought these on 12/08/2020 at $7.12
Bought to open SPY Feb 19 2021 385.00 Calls at $4.86.
Put the $375 difference in my pocket for now.
OSTK
#ShortPuts – This position had gotten a little bigger than normal after adding a couple times. Happily taking it considering where it was a couple days ago.
Bought to Close OSTK JAN 08 2021 52.5 Puts @ .37 (sold for 1.55 avg.)
NIO SPWR Puts Closed
#shortputs
$NIO BTC 1/15 40 puts at .20. STO at 4.20
$SPWR BTC 1/15 20 puts at .20. STO at 1.58
COUP
#ShortPuts – Replacing the RH stop out with this.
Sold COUP JAN 29 2021 290.0 Put @ 4.60
FSLR RH
#ShortStrangles – Call sides taking heat so I’m getting out of the way. I’ll learn someday to quit touching the hot stove! 🙂 🙂
FSLR: I’ll apply the small loss to put premium received leaving .75 in the short puts.
Bought to Close FSLR JAN 22 2021 110.0 Calls @ 1.45 (sold for 1.05)
RH: Stopped out with small gain.
Bought to Close RH JAN 15 2021 410.0/480.0 Strangle @ 8.80 (sold for 9.05)
MU Put Closed / ALB Call Closed
#shortputs
$MU BTC 1/8 70 put at .30. STO 1/4 at 1.07. Earnings tomorrow.
#longcalls
$ALB STC 1/15 150 call at 20.20. BTO 12/24 at 5.50.
Unplugged
#Speculation Sold to close $PLUG Jan 15th 20 Calls for 16.00. Calls were bought for .80 on August 12th. I may reload if we get a deep enough pullback.
VXX Put Rolls
Despite the disappointing move in the VIX this morning, I was still able to bring in cash on my rolls to next week.
Rolled VXX 22.50 Puts to next week @ 0.15 Credit
Rolled VXX 21.50 Puts to next week @ 0.20 Credit
Rolled VXX 20.00 Puts to next week @ 0.25 Credit
Rolled VXX 19.50 Puts to next week @ 0.30 Credit
#earnings MU reports tomorrow, any…
#earnings
MU reports tomorrow, any thoughts?
SPX 3 DTE
Sold $SPX 1/8 3640/3665/3805/3830 iron condor @ 4.05. Short puts 14 delta, short calls 13 delta.
/NQ Futures
#BullPutSpreads – Selling a wide put spread down near the 200ma and about 1.5 times the expected move…
Sold /NQ FEB 21 11000/10500 Bull Put Spread @ 42.00
These trade at 20 dollars per point so max gain of $840
SPX 1-dte
#SPX1dte Sold to Open $SPX Jan 6th 3590/3600-3790/3810 iron condors for 1.65, SPX at 3725, IV 23.3%, deltas -.06, +.08.
MARA T Puts
#shortputs
$MARA STO 1/15 13 put at 1.60
$T STO 1/15 30 put at 1.28
$T STO 2/19 29 put at 1.15
SPX 7-dte
#SPX7dteLong Bought to Open $SPX Jan 11th 3690/3710-3720/3740 iron condors for 17.55, with SPX at 3718.
RH BWB – adjustment
Original trade from Dec 21st:
BTO RH Jan 08, 465 / 455 / 435 Broken Wing Put Butterfly @ $3.04 credit
RH exhibiting uncharacteristic weakness so using some of the credit to finance buying some more time for the Short Put spread (455/435) to work:
Buy Jan 08 455/435 put spread / Sell Feb 12 455/435 put spread for $0.39 debit.
If weakness continues expecting to pocket $10 from the long 465 / 455 put spread this Friday.
FSLR
#ShortStrangles – Caught a downgrade today so turning short puts into short strangles.
Sold FSLR JAN 22 2021 110.0 Calls @ 1.05 (87.5/110 @ 2.20 now)
INTC covered calls
Stock bought @ $45.41 – wanting to sell covered calls when INTC crosses $50 (or thereabouts).
Sold half cover Jan 08 $50 calls @ $0.68.
TQQQ
#ShortPuts – Another fill earlier…
Sold TQQQ FEB 19 2021 95.0 Put @ 2.20
SPX trades
Wow, what a wild day to start the year.
#SPX7dte Sold to close $SPX Jan 4th 3730/3710 put spreads for 19.30. Condors bought for 14.25 on Wednesday.
#SPX1dte – Got stopped out of call side the same day I placed the condor (Thursday), and now getting stopped out of 3665/3645 put side. Holding on now for a bounce to make the exit cheap.
SPX BECS Hedge Using SPY Long Call
Took advantage of the pullback to buy some cheap insurance for my SPX BECS.
BTO 1 Contract SPY Jan 29th 385 Call for 1.10. Paying $110 now reduced my planned exit max risk from $1000 to $575, almost cutting it in half. Max profit now is $1715.
Come to think of it, since the new SPY call expires after my SPY butterfly, it is sort of an extra hedge for that position too.
New SPX P&L Diagram:
TQQQ, STO February 5 105…
TQQQ, STO February 5 105 put at 1.75
SPY Butterfly Risk Reduction
Took advantage of the early rally to rollup the lowest put and eliminate downside risk. Then, took advantage of the pullback to squeeze the upside of the butterfly to reduce upside risk.
Original Butterfly Strikes:
334 / 357 / 380
New Butterfly Strikes:
344 / 357 / 377
Still targeting between $500 and $1000 profit, new max risk is $534 (only to the upside).
Fans of Butterfly trading and of Gavin Mcmaster may recognize this as a “Reverse Harvey” adjustment. Here’s a reference for anyone interested:
New P&L Diagram:
TQQQ, In my IRA, STO…
TQQQ, In my IRA, STO February 19, 100 puts at 2.60
TQQQ
#ShortPuts – Adding at a lower strike…
Sold TQQQ FEB 19 2021 100.0 Put @ 2.20
TQQQ
@ShortPuts – Thanks @jsd501 for the idea. Going out to Feb for a starter. At the time mid price was 2.25 and I was filled immediately at 2.40 so give it some room.
Sold TQQQ FEB 19 2021 105.0 Put @ 2.40
TQQQ,
STO February 5, 110 puts at 1.85
TQQQ,
STO January 29, 120 puts at 1.65
NFLX RH
#ShortStrangles – A roll and an adjustment…
NFLX: Rolling a week for additional premium.
Rolled NFLX JAN 8 2021 485.0/585.0 Strangle to JAN 15 2021 485.0/585.0 Strangle @ 3.10 credit (8.35 total now)
RH: Rolling call side down slightly…
Rolled RH JAN 15 2021 510.0 Call to JAN 15 2021 480.0 Call @ 2.10 credit (410/480 @ 9.05 now)
TQQQ, STO January 22, 125…
TQQQ, STO January 22, 125 puts at 1.05, dipping my toe into the water.
NIO Strangle / PLTR Call / BIDU Call Roll / OSTK Put Roll
#shortstrangles
$NIO STO 1/8 54/55 straddle at 5.38
#coveredcalls
$PLTR STO 1/8 25 call at .40
$BIDU BTC 1/22 225 call and STO 2/5 232.50 at added credit of .30. Stock at 224.60
#shortputs
$OSTK BTC 1/8 55.5 put and STO 1/15 55 put at .50 added credit
VXX Calls
Sold VXX Jan 08 2021 20.5 Calls at $0.26.
Sold VXX Jan 08 2021 21.0 Calls at $0.23.
Sold VXX Jan 08 2021 21.5 Calls at $0.21.
VXX = 17.29 + 0.50
Replaces some calls that expired on 12/31
NFLX pre earnings
#ShortPuts – First one of the new year! Selling below the 50ma and outside the expected move and a week before earnings…
Sold NFLX JAN 15 2021 490.0 Put @ 2.50
SPY Rollups
I was faked out by the pre-market strength so I probably didn’t get the best fills.
At least I pushed the short strikes up a bit but based on what I’m seeing now(10:15), the shorts for today might have both expired
Oh well …..
Bought to close 1 SPY Jan 04 2021 372.0 Call / Sold to Open 1 SPY Jan 11 2021 375.0 Call @ 0.44 Credit.
Bought to close 1 SPY Jan 04 2021 373.0 Call / Sold to Open 1 SPY Jan 13 2021 377.0 Call @ 0.65 Credit.
Thanks for the ideas and comments in 2020……great site, great sharing. Best option trading site on the web!
Markets
Chart of the day
Kind of a boring year
Expiration
#coveredcalls
$PLTR 26
$FDX 265
$PENN 89
#shortputs
$RIOT 7.5
Expirations
$TQQQ 12/31 135 puts
$TQQQ 12/31 142 puts
$UVXY 12/31 12/17 bear call spread
$AMZN 12/31 2950/2940 bull put spread
Happy New Year everyone! Wishing a great, healthy, prosperous 2021 to the Bistro family.
SPX 1-dte STOPPED
#SPX1dte Earlier I thought I’d get cute and put this trade on early in the day to boost premium. I figured we ain’t going to move much in final hours of the year.
Ha!
Stopping out the call side, will post my fill.
Beautiful Website Sendoff
TQQQ Strangle Rollout
Bought to close TQQQ Dec 31 2020 195.0 Diagonal Calls at $0.01. They won’t trade any lower.
Sold these @ 0.35 just 2 days ago.
Replaced them with TQQQ Jan 08 2021 200.0 Diagonal Calls at $0.55.
Bought to close TQQQ Dec 31 2020 150.0 Puts at $0.01. They won’t trade any lower.
Sold these @ 0.54 on 12/28.
Replaced them with TQQQ Jan 08 2021 145.0 Diagonal Puts at $0.57
So the total premium for the new 5-day strangle is $1.12 and it’s 10 points wider.
Third time writing against the Jan longs.
#TripleDIP
SPY Rollup.
This market just won’t stay down on expiration day.
Bought to close SPY Dec 31 2020 371.0 Call Net Credit / Sold to Open SPY Jan 08 2021 374.0 Call @ 1.05 Credit plus 3 more points on the short strike.
SPX
The BECS Thesis:
SPX is rarely above 15% above its 50-Week MA, and when it is, it doesn’t stay there for very long. Currently, it is 15.9% above that MA and has been as high as 16.7% above it at the recent ATH. The rubber band is pretty stretched, and should pull back at some point, even if it’s done by trading sideways while the MA catches up.
With SPX’s 50-Week MA having risen 43 points over the last month, I am projecting that that MA will be approximately 3261 in 4 weeks (it is 3218 now). Multiplying 3261 by 1.15 equals 3750. Padding that by a little for mom and the kids gets me up to 3800 for the short strike of a BECS.
The Trade:
#bearcallspreads
SPX Jan 29th (29 days)
STO 3800 / 3850 BECS for 18.25 (1 contract)
Capital Allocated: $5000
Potential Max Profit: $1825
ROC: 36.5%
Planned max loss: $1000
ROR: 182.5%
The Plan:
Upside breakeven is at about 3820 on the SPX, and my loss at that point (based on T-0) will be about $1000. If SPX reaches that point, I will roll up and double, based on my bearish thesis above.
EIGR
Several years ago I picked up shares of EIGR from a short put debacle on a biotech when some of us were at OMM. It is up 10% today. I don’t remember the biotech but could the EIGR ship be coming in?
Happy New Year!
LABU
#ShortPuts – Adding…
Sold LABU FEB 19 2021 65.0 Put @ 3.10
TSLA
#ShortPuts – Taking it a couple weeks early and prior to quarterly delivery numbers next week…
Bought to Close TSLA JAN 15 2021 450.0 Put @ .80 (sold for 4.50)
Happy New Year to the Bistro world!
Click Home/REFRESH above for the celebratory view!!!
Thanks to all for being part of this site, which just turned FIVE years old! Looking forward to another exciting year in 2021…
Below is a screengrab of my very first post, along with the first replies…. oh so long ago.
And for those of you just following but not writing posts, please email me at jpayne.rdb@gmail.com to become a Contributor if you’d like to write your own posts.
All the best!
Jeff
SPX 1-dte
#SPX1dte Sold to Open $SPX Jan 4th 3645/3665-3785/3805 iron condors for 1.25, SPX at 3730, IV at 10.8%, deltas -.06, +.06
Expecting to expire: Dec 31st 3650/3670-37703790 condors, sold yesterday for 1.15.
BIIB FSLR OSTK SNOW UVXY
#ShortPuts #CoveredCalls #ShortStrangles #OptionsExpiration – Some housekeeping today…
BIIB: Covered. Waiting for the March news about the new drug.
Sold BIIB JAN 15 2021 255.0 Call @ 5.20
Expiring: 260 Call (sold for 9.95)
FSLR: Aggravating. Coverd Calls run over. Letting stock go for a small loss. Replacing with these slightly bigger size.
Sold FSLR JAN 22 2021 87.5 Puts @ 1.10 and 1.15
OSTK: Selling calls for next week against stock that wil be assigned.
Sold OSTK JAN 8 2021 52.0 Calls @ 2.00
SNOW: Adjusting 300/430 strangle for decent credit.
Bought to Close SNOW JAN 8 2021 430.0 Call Side @ .05 (strangle sold for 7.58)
Rolled SNOW JAN 8 2021 300.0 Put to JAN 15 2021 290.0/345.0 Strangle @ 2.65 credit
Long story short: New position Jan 15 290/345 @ 10.18 credit
UVXY: Hedge for my hedge. Stock will be assigned @ 10.98 Selling covered calls at breakeven. Hope to roll on a volatility pop.
Sold UVXY JAN 8 2021 10.0 Calls @ 1.01
WFC Call Ladder Roll
Bought to close WFC Dec 31 2020 29.0 Calls / Sold to Open WFC Jan 08 2021 29.0 Calls@ 0.23 Credit.
GILD Put Ladder Roll
Bought to close GILD Dec 31 2020 57.0 Put / Sold to Open GILD Jan 08 2021 56.0 Put @ 0.29 Credit and lowered the strike price a point for only 1 more week.
That puts the strike price below the 52 week low.
In fact you’d have to go back to 2013 to find a lower price.
Dividend yield here is 4.80%
#coveredcalls FCEL BTO FCEL at…
#coveredcalls
FCEL
BTO FCEL at 11.97
STO FCEL CC, 19 Feb 25C for .73
TQQQ, BTC December 31, 142…
TQQQ, BTC December 31, 142 puts at .02 cents in my trading account and IRA. I am done for this year.
BIDU Call Rolled Again
#coveredcalls
$BIDU BTC 1/15 215 call and STO 1/22 225 call at added cost of 2.49. Rolled twice today starting at the 210 strike and ending with the 225 strike two weeks later at cost of $2.09 but would gain $15 if called away. Stock closed today at 219.63.
RH
#ShortStrangles – Out all afternoon but did have a standing order fill. This thing seems pretty mellow while it’s digesting the earnings swings (that was fun!). Adding a shorter term wide strangle to hopefully take advantage of the consolidation. Put side at the expexcted move and call side 1.5x the expected move.
Sold RH JAN 15 2021 410.0/510.0 Strangle @ 6.96
ADS Rollup
Bought to close ADS 12/31/2020 75.0 Diagonal Calls @ 0.25.
Sold these on another rollup last Thursday @ 0.87.
Replaced them with short ADS 01/08/2021 77.50 Diagonal Calls @ 1.00 for a Net Credit of 0.75 and I added another 2.50 to the short strike.
Options Bistro 