#ShortPuts #ShortCalls #RepairTrade – Can’t believe I’m having to do the same repair trade I did a couple weeks ago. What seemed like a safe call on a short strangle is getting hit again. Swapping it for a 2×1 short strangle for next week.
Bought to Close NFLX OCT 2 2020 520.0 Call @ 7.15 (sold for 1.45)
Sold NFLX OCT 9 2020 492.5 Put / 570.0 Call (2×1) @ 8.80
The 2×1 now has 3.10 of profit in it after the short call loss. New short put strike at the expected move and under the 50ma. Short call is almost 2x the expected move.
Still holding Oct 16th 460 strike short put @ 8.05
Earnings is Oct 20th which is after all this so plenty of IV out there for future adjustments…