New Trade : VXX

Stock / Symbol: IPATH S&P 500 VIX SHORT TERM / VXX Option Strategy: [private_monthly]broken wing butterfly[/private_monthly] Price at trade post: $27.00 Reasoning: With market volatility relatively low, I’m putting on a [private_monthly]broken wing butterfly[/private_monthly] on VXX. The greeks going into this trade are: 26.5 delta, 0.4 theta, and 0.1 vega. Trade Details: [private_monthly] BTO 2 […]

Trade Adjustment : QQQ

Stock / Symbol: PowerShares QQQ / QQQ Option Strategy: [private_monthly]Double Calendar[/private_monthly] Trade entry date / price: 20 Jan / $100.82 Price at this adjustment: $108.79 Current position:[private_monthly] Long 2 Apr15 104 puts Short 2 MarWk1 104 puts [/private_monthly] Reasoning: We’ve already managed to capture about 70% of the premium on the current short options. Going […]

Order Update : BAC

Update: I incorrectly said to “STO” the short calls, I should have said “BTC”. The corrected order is: Trade Adjustment Details:[private_monthly] STC 2 BAC Jan16 10 calls BTC -2 BAC MarWk1 16 calls for a min net credit of $5.65 per contract (day order, limit order).

New Trade : RUT

Stock / Symbol: Russell 2000 / RUT; Option Strategy: [private_monthly]bear call spread[/private_monthly]; Price at trade post: $1236.36 Reasoning: Never did get filled on the iron condor we attempted this week on RUT. With this market upswing, I’m now going with a [private_monthly]bear call spread[/private_monthly] on RUT. With an expected deviation of[private_monthly] +/- 52 points between […]

Closing Trade : BAC

Stock / Symbol: Bank of America / BAC Option Strategy: [private_monthly]diagonal call spread[/private_monthly] Trade entry date / price: 22 Jan / $15.82 Price at trade close : $15.80 Reasoning: Downside stop triggered. Closing here for a 3% return. Trade Adjustment Details:[private_monthly] STC 2 BAC Jan16 10 calls BTC -2 BAC MarWk1 16 calls for a […]

New Trade : FB

Stock Symbol: FaceBook / FB; Option Strategy: [private_monthly]diagonal call spread[/private_monthly]; Price at this post: $80.65; Reasoning: Putting on a slightly long delta trade on FB here with the idea of generating weekly / monthly income. Current greeks are: 23.5 delta, 2.8 theta, and 23.1 vega Trade Details:[private_monthly] BTO 1 FB Jan16 80 call STO 1 […]

New Trade : RUT

Stock / Symbol: Russell 2000 / RUT; Option Strategy: [private_monthly]iron condor[/private_monthly]; Price at trade post: $1233.27; Reasoning: With an expected deviation of[private_monthly] +/- 52 points between now and March expiration, I’m putting on a [private_monthly]bear call spread[/private_monthly] on RUT. I’m selling the [private_monthly]1280 calls (covering with the 1290’s) and selling the 1150 puts (covering with […]

Trade Adjustment : QQQ

Stock / Symbol: PowerShares QQQ / QQQ Option Strategy: [private_monthly]Double Calendar[/private_monthly] Trade entry date / price: 20 Jan / $100.82 Price at this adjustment: $108.32 Current position:[private_monthly] Long 2 Mar15 95 puts [/private_monthly] Reasoning: Well, I sure was wrong about the market pulling back this week. Going to close out the long 95 puts and […]