Stock / Symbol: SPDR DOW Jones Industrial Avg ETF / DIA Original Option Strategy: double calendar Adjusted Strategy: diagonal put spread Trade entry date / price: Sep 13 / $153.60 Price at this post: $150.70 Current Position: Long 2 Nov13 148 puts Short 2 OctWk1 150 puts Reasoning: Currently at the profit sweet spot in […]
Stock / Symbol: SPDR DOW Jones Industrial Avg ETF / DIA Original Option Strategy: double calendar Adjusted Strategy: diagonal put spread Trade entry date / price: Sep 13 / $153.60 Price at this post: $152.00 Current Position:[private_monthly] Long 2 Nov13 148 puts Short 2 Sep13Wk4 152 puts [/private_monthly] Adjustment: Rolling the short 152 puts over […]
Stock / Symbol: SPDR DOW Jones Industrial Avg ETF / DIA Option Strategy: double calendar Trade entry date / price: Sep 13 / $153.60 Price at this post: $153.88 Current Position:[private_monthly] Long 2 Nov13 148 puts at an effective cost of $1.20 (factoring in profit from closing the call calendar + short puts) Reasoning: After […]
Stock / Symbol: SPDR DOW Jones Industrial Avg ETF / DIA Option Strategy: double calendar Price at trade entry: $153.60 Price at this post: $155.00 Adjustment: Upside stop hit. Closing out the call calendar and buying back the short put. If DIA continues higher next week, we’ll likely add a new call calendar. Otherwise, we’ll […]
Stock / Symbol: SPDR DOW Jones Industrial Avg ETF / DIA Option Strategy: double calendar Price at trade post: $153.60 Reasoning: With 35 days to October expiration, I’m putting on a delta neutral trade on DIA. The Greeks on this double calendar are: delta of 2, a positive theta of 0.50 and a positive vega […]
Stock / Symbol: Russell 2000 / RUT; Option Strategy: [private_monthly]iron condor[/private_monthly]; Price at trade post: $1053.50 Reasoning: With 34 days till October expiration, I’m putting on an [private_monthly] iron condor[/private_monthly] on RUT. While we’ve got an expected deviation of[private_monthly] +/- 60 points between now and Oct expiration, I’m going to be more conservative and account […]
Stock / Symbol: Apple Inc / AAPL Option Strategy: [private_monthly]butterfly call spread[/private_monthly] Trade entry date / price: Sep 9 / $507 Price at this post: $465 Reasoning: Wow, what a disappointing announcement from Apple. No new innovations, no bigger screen, and a way too expensive “cheaper” iPhone 5C that costs $549 in the US and […]
Stock / Symbol: JC Penney / JCP Option Strategy: [private_monthly]bear call spread[/private_monthly]; Price at trade post: $14.47 Reasoning: With it’s fundamental challenges, and expecting JCP to hit resistance at its 50 day average, I’m putting on a[private_monthly]bear call spread[/private_monthly]. This trade’s Greeks are: -91 delta, 3.4 theta, and -3.6 vega. The probability of success on […]
Stock / Symbol: Apple Inc / AAPL Option Strategy: [private_monthly]butterfly call spread[/private_monthly] Price at trade post: $507 Reasoning: Making a play on tomorrow’s Apple event where they’re expected to announce a new version of the iPhone and a cheaper, plastic iPhone. This is an upwardly biased bet so I’m not risking much on this [private_monthly]butterfly […]
Stock / Symbol: Direxion Small Cap Bull 3x / TNA; Option Strategy: [private_monthly]bull put spread[/private_monthly]; Trade entry date / price: Aug 16 / $54.60 Price at this post: $56.59 Reasoning: As of this morning, we’ve captured about 70% of the potential profit on this trade and we’re up over 8%. Going to book the win […]