Rolled Mar 23 29 Call to mar 29 31 .35 debit part of Hedge on 28/28/26 Apr #Fuzzy
IP Assigned 62.5 put, have a 60 for protection am putting it to them also. -250.00 part of a #Fuzzy that didn’t do well but had a few weeks to go. Part of the game.
Might be on to something here. I have an experiment running on ERX. 22 DTE 21/26 call spread. I don’t know what the news is, but all the oil service sector names just tanked and are now bouncing. Anyway, I was looking at how hard it would be to roll and it is really easy and often done for a credit.
Adjustment #1 is roll the long out or to a leap and make it a fuzzy. I could add another 9 months for 3.2 or 19 for 7.19. Then you have plenty of time to sell against it.
Adjustment #2 roll the entire spread out a month, could do that for 0.7 credit even going down a strike.
Adjustment #3 roll the short strike down same expiration for credit. At that point you lose some of the profit but still stays green.
I may experiment with some more of these going forward and will share results. Might be a better way to get higher returns with known/controlled risk. That is always a good thing 🙂
Also may be a way to ease into a #fuzzy at a lower cost and not having to initially set up as a long range trade.
STO the next week 8 DTE FAS 68 CC at 67.20 in IRA, only 300 shares.
Tomorrow have some expirations that look safe for now.
WDC 87 CC will let call out
FAS 67 CC will let assign
That’s all for this week. Mostly need to sit on my hands and let theta do its magic.
I need to place some #fuzzy trades and #spycraft trades to improve ROI but to be honest, my trading confidence is still low after the SVXY debacle. To have an entire year’s worth of trading profits wiped out by one trade has been a major gut punch. Luckily I learned to segregate accounts after 8/24/2015 and only affected 2 out of 7 accounts. I know how to trade, fairly good at it, the SVXY was an isolated event, but still sits in the back of your head and prevents you from hitting the send button on some trades I know are good.
After I successfully manage what I currently have on and have a few cycles of profitable trades it should get some mojo back.
As I am reading “Trading options for edge” realize I probably need to manage the positions and portfolio by the Greeks more, especially delta and gamma. Learning some new hedging techniques that should be very beneficial and will post them as I use them and learn them.
BTO BBBY May 18 22.5/22.5/20 .98 2x #Fuzzy No Hedge at this time