#Fuzzy – STC MU Mar16’18 44/44/42 Fuzzy for 2.57, bought for 0.76.

BTC MU Feb23’18 45 calls for 1.17, sold for 0.31.

This ticker took off this morning plus March is just around the corner. All said and done made 0.91 on 10 contracts.


Feb 21 #Fuzzy Land Hi…

Feb 21 #Fuzzy Land
Hi there everyone! It’s been a couple days since I’ve posted, but I didn’t want to bore you with the same trades. As it turns out, I’m really liking the #AtomicFuzzy! The built in hedge is working really great this week. I was having problems sleeping over the weekend, when I can’t sleep I plan out trades in my head. The first trade I mapped out was a series of laddered SPY fuzzies in Apr/May/Jun, unhedged, totaling 250 contracts (across multiple accounts) when fully built. This would equal 25,000 shares of SPY, total risk approx $175,000, with about $87,500 profit on every $5.00 up move in SPY (assuming .7 delta). That was a fun dream. The next night I designed the same trade but as an Atomic Fuzzy. 250 contracts, risk is now aprox $87,500, and a $5 move in spy = $43,750 (assuming .35 delta).
I’ve got Atomics now on SPY, QQQ, TBT, JPM (based on #UOA today–Mar 120 calls). 45 SPY contracts, 40 in QQQ. I won’t be adding anymore unless I can get some good strike diversification.
Q’s: May 166/166/164 @ 5.86 170/175 Call Credit Spread @ 2.00 double size.
SPY: Apr 272/272/270@ 5.91 278/283 Call Credit Spread @ 1.69 double size.
There’s a chance we’re entering a range bound market here for awhile, meaning I will need to be opportunistic on taking profits, vs if we are in a trending market (that’s another reason why I went heavy on Atomics vs Unhedged). But I am trying to set up longer term trades that require little management. I do realize that SPY and Q are heavily correlated. Until more profits start getting booked, it’s still an experiment! BTW, Atomics won’t work on Fuzzy Bears due to the put skew, you can’t get enough selling put spreads to even come close to covering the cost of the protective calls.
p.s. My 45 SPY contracts have about $18,000 total risk, for virtual control of $1,215,000 of SPY shares. The beauty of fuzzies! I probably won’t post a lot unless some of these start coming off, or need some kind of management.


Sold to open September 21, 16 puts @.60


SPX #UOA The Trader held…

The Trader held this one until right after the regular close. Big trade for mid-week next week, selling 2790/2775 Bull Put Spread


CMCSA #UOA In the last…

In the last 1/2 hour today, a lot of block trades and call buying.


#UOA – Alert saying bullish but I’m not sure why…LOL @smasty ? Any ideas?

Jan 22 #PieTrades LMT is…

Jan 22 #PieTrades
LMT is one of my all time favorite tickers. I feel like I’ve been a grimy street urchin staring in the the window of a sweet shop as I missed the last LMT swing, and also w/ earnings next week, been covering my eyes on it. But, today gave a great opp for my first Pie Trades! Sold this week 327 puts for .90 x 8.

Boatloads of #Fuzzy trades
1. Closed all the “twisted fuzzy” trades for small gains/losses (less than $100 per)
2 Opened new unhedged fuzzies on SPY, Feb 282/282/279 for 1.93 (only 4-lots)
3. I’ve mentioned the “Gorilla Trades” service before. Pretty great service. Their picks are very often best played with shares vs. options (monthlies, thin). But I’m tired of getting left behind on the myriad of explosive moves in their portfolio. So I’m using unhedged fuzzies, small lot, to create a shotgun approach in building a Gorilla portfolio. On Friday I put on a 3-lot unhedged fuzzy on Gorilla pick INGN, it was closed today for 357% gain. Additional openings today: BAH, MYGN, IP.
4. Unhedged fuzzy on MSFT from Friday was closed for 40% gain, then placed again immediately after seeing #UOA on it. I now have Apr 90/90/85 for 2.45 x 10.



#UOA over there today?

EDIT…it’s now a hashtag 🙂

SPX #UOA Here’s one to…

Here’s one to just keep tabs on for fun. Yesterday Trader bought an opening #RiskReversal Selling June 2475 puts @33.50 x 5000 contracts to buy June 2775 calls @33.75 x 5000 contracts. This morning Trader is up $1,400,000 (pre-market mid)

12/26 Fuzzy land trades

NUE: I ended up closing this one for a net net loss of $340.00 How did I lose? It started off as a lovely trade. The round-one hedge expired with full profit. But the company then came out with lowered guidance and the underlying tanked over 3%, so I rolled the next week’s hedge down $2.00 to my synthetic line. We then saw a literal whipsaw correction which left me chasing each week with debit rolls to avoid assignment on my hedge, and ex-div is Thursday. Continuing debit rolls to get me out of assignment territory on the short calls would leave me with protective puts $15.00 ($15,000) away with no “bank” due to debit rolls. To me, chasing only makes sense when you know the underlying is going to stay bid, and to me a $340 loss on a 10-lot is pretty darn close to a scratch. I’d rather do a reset on this or another, vs. having $15K risk on a less-than-$100 stock.

AAPL: This takes the place of NUE. BTO Apr 170/170/160 for 5.27 debit, STO Jan 5 172.5 call for 1.32 cr

QQQ: BTC Dec 29 159c for .03, STO Jan 5 158 c for .47

CMCSA: I did a search on SP500 stocks with a weekly ATR of 2 or less, looking for stocks with decent premium for quick core debit coverage, but stocks that stay relatively stable with price movement. I’m just still playing around with finding the perfect candidates for #fuzzies. Take JPM for example…seems to stay in a very nice range for collecting that premium every single week. So anyway, CMCSA came up on the list, boring maybe, we’ll see how it works. BTO Apr 40/40/35 for 1.38 debit, STO Jan 5 41 call for .56.

BABA: Caught some bullish #UOA on this today, and has lovely weekly premium. Chart technicals not so great. But decided to do a 1/2 size fuzzy. Apr 170/170/160 for 9.43 debit (there’s a few bucks intrinsic in this), Jan 5 175 c for 1.93 cr.
I’ll do another full recap this Friday with every open position, net collection and debit recovery.

#fuzzy, #fuzzybear


I have 28 orders today, so I’ll sort through highlights. Also there were orders yesterday that I didn’t recap so if you were tracking a particular position and it disappeared don’t hesitate to ask.
1. My best trade of the day was scalping TSLA based on #UOA. I caught a big Jan 345 opening order for 3820 contracts so I quick bought a #BUCS and some shares and netted $1440 before going flat.
2. RCL needed a little #defense on a #BUPS, break even not yet breached, which is the best time for defense. I have on a Jan 123/120 credit spread x 10, so I butterflied it by selling more 123 and buying 126, x 4. By doing it early I only need 4 contracts to do the following: 1. cut long deltas in half (from 142 to 72), 2. move BE from 122.27 to 121.68, 3. raise max loss from $2,227 to $1,678, 4. Increase max profit
3. Bought NTNX shares at 35.25 and 34.75, I have 800 shares now
4. FAS Fuzzy roll to next week
5. MSFT #ShortPut scalps for this week the 85’s and 85.5’s, flat now for $370
6. MU new #Fuzzy Apr 46/46/41 with Dec 29 47 short calls
7. Caught some LOW UOA…when a fund buys expensive calls at an underlying high it’s a powerful trade, so followed along buying some Jan 92 calls at 1.52.
8. CELG rolled Fuzzy calls to next week

Fuzzies that still need managed this week: DWDP, JPM,

12/11 Trades

Looks like it was a quiet day for a lot of people here.
1. May I please call these “Fuzzy” trades? I love them and I’m doing a lot of them (#SyntheticStock Diagonals w/ protection and hedge income—From now on known as #Fuzzies. To me, the Fuzzies have two stages, stage one is recovering the net debit of the trade; Stage 2 is recovery of the spread risk. I spent time this weekend looking at and scoring candidates. The “score” is basically the number of weeks of hedge income that it takes to accomplish Stage 1. The fewer the number of weeks, the lower the score. I’m looking for Fuzzies with a score of less than 5, less than 4 even better. I have a picture in my head of having a portfolio of 10 Fuzzies, each with $10 spread risk, bringing in 10-15K a week in income. So I’m testing these aggressively.

I have a TOS scan for finding high-return covered calls and puts, and it turns out it’s a good scan for finding Fuzzy candidates with low scores. Here’s the scan

So back to Trade #1: CELG. I happened to catch a big bullish fund order for a Jan risk reversal, so a CELG #Fuzzy was my first trade of the day: Mar 110c/-110p/+100p, Dec 15 110 c. Net debit: 1.38 with a “Score” of approx 2.38 (2.38 weeks to cover the core debit)
2. Oh…here’s a nod to @hcgdavis for the Alpha Shark indicator. Got it. Love it. So scalped a bunch of /NQ today while taking it for a test run. Ended up +$305 on small-lot scalps. Enough to pay for the indicator 🙂
3. NTES. Now this was a franken-trade. It started as one 10-lot #butterfly. As it dropped added another 10-lot butterfly. Last week added a 3rd 10-lot butterfly. Was finally able to close it all out today for a $157 loss. Believe me, I’m happy with that!
4. #Bitties Closed! SPX x 20 lot, NDX x 10 lot. Got 50% target on all of them. The SPX bitties were 7DTE, so was happy to close them asap given the gamma risk. Net profit $1150.
5. Reset 17DTE SPX #Bitties. The Dec 27 2630/2625 for .85 cr x 20
6. NTNX I’ve been holding 703 shares, took 603 off for about $950 profit. Some day they’ll be acquired so I’ll always keep a hundred on. Great stock for swing trading, so will load back up on any dip. My max size position is 3000 shares, but I never seem to get the opp to add that many on.
7. QQQ #JadeLizard closed for 50% profit, this week’s expiration
8. SPY 266/267 #BuCS closed for 90% profit. This was bought based on #UOA (unusual option activity). SPY trades massive volume in fund flow, obviously—but it’s almost all put hedges. Every once in awhile a big bullish trade hits the tape, and those are ones for my attention.
9. NUE Closed a BuCS for 50% profit, this is another one that was bought on #UOA
10. NUE Opened a #Fuzzy Apr 60/60/50 for 1.87 core debit, Dec 15 62 call short for .56, Score is 3.3. There was a lot of bullish option flow on this today….all the way up to the 70 call line.
11 NUE spec trade based on #UOA bought 100 Jan 70 calls for .16, just looking for .21 as my target
12 MU #EarningsRunUp added two more calls to the trade from last week. Looking for 30% profit on these and must close before earnings announcement.
13 AMC #UOA There was unusual activity on AMC right before the other cinema merger happened last week. Turns out AMC confirms they’ve been approached too, regarding investment options. I’m glad I sold a few puts when I saw the fund flow. Netted 50%, $370.00 on a 10-lot
14. MSFT I like to layer on a lot of different MSFT trades. I love what they’re doing with Azure. However I saw a lot of January put buying today on MSFT, so I cut a trade short (#BuCS) for 28% profit vs. the 50% I was looking for. I still have on a MSFT #Butterfly that I’m watching closely. 80/85/90 for Feb.
15. ALGN This is the last of my trades from the tech crash. I defended it resulting in half what the max loss would have been. All closed now for $1150 loss. Classic case of thinking it would come back. Could have been handled better, but could have been handled much worse. I wouldn’t mind resetting with a #bitty or #PutRatioSpread the problem is that it’s just really thin. The Market Makers are not the worst I’ve dealt with (ISRG, KORS, ULTA are worse) but it’s still a struggle.
16. TWTR Opened a #Fuzzy in a 401K. I again saw some large bullish fund flow on TWTR and it had a good score. Mar 22/22/18 core for .78, sold Dec 22.5 call for .46, score is roughly 2. Not sure how this one will work out, but I’m still developing the perfect candidate profile for the Fuzzies.

@fuzzballl I hope you are ok being the namesake on these trades. It’s cute!