New Trade : BA

Stock / Symbol: Boeing / BA Strategy: [private_monthly]Condor [/private_monthly] Price at trade post: $74 Reasoning: Despite the mechanical issues surrounding their new 787 Dreamliner, I think that BA will stay within a range of [private_monthly]67.5 to 80[/private_monthly] by February option expiration. I’m going to play my thesis with a [private_monthly]call condor [/private_monthly]+ protective strangle . […]

Trade Adjustment : RUT

Stock / Symbol: Russell 2000 / RUT; Option Strategy: [private_monthly]bear call spread[/private_monthly]; Trade entry date: Jan; Price at trade entry: $880; Price at this adjustment: $884; Current Position: [private_monthly] short -2 RUT Feb13 920 calls Long 2 RUT Feb13 930 calls at a net credit of $1.00 per contract. [/private_monthly] Reasoning: I had thought that […]

New Trade : SPY

Stock / Symbol: SPDR S&P 500 ETF / SPY; Option Strategy: [private_monthly] iron condor[/private_monthly]; Price at trade post: $146.70; Reasoning: With 32 days left till February expiration, we’re putting on an[private_monthly] Iron Condor on SPY to fit between the current standard deviation calculation of +/- 6 from its current price, with a slight downside bias. […]

Closing Trade : BOIL

Stock / Symbol: Proshares Ultra Natural Gas / BOIL; Option Strategy: put ratio spread; Trade entry date: Jan 9; Price at trade entry: $33.30; Price at this post: $39.60; Reasoning: BOIL has had a nice bounce, giving us the opportunity to close this trade early for a quick win. The current greeks are: delta of […]

New Trade : RUT

Stock / Symbol: Russell 2000 / RUT; Option Strategy: [private_monthly]bear call spread[/private_monthly]; Price at trade post: $880; Reasoning: With 34 days till Feb expiration, I’m putting on a [private_monthly] bear call spread[/private_monthly] on RUT. The expected deviation is[private_monthly] +/- 43 points between now and Feb expiration, giving us an expected range of 837 to 923. […]

New Trade : BOIL

Stock / Symbol: Proshares Ultra Natural Gas / BOIL Option Strategy: put ratio spread Price at trade post: $33.30 Reasoning: Looking to take advantage of today’s big drop in BOIL, a play on natural gas. Because BOIL is extremely volatile, the options premiums are huge with this ETF. IMPORTANT: if you participate in this trade, […]

Closing Trade : AAPL

Stock / Symbol: Apple Inc / AAPL Option Strategy: [private_monthly]bull put spread[/private_monthly] Trade entry date / price: Dec 7 @ $543 Adjustment date / price: Dec 14 @ $515 Price at trade close: $526 Reasoning: Current position has achieved 95% of potential profitability. Booking the win now to take off the downside risk. While it […]

Trade Adjustment : DIA

Stock / Symbol: SPDR Dow Jones Industrial Average / DIA Option Strategy: iron condor Trade entry date: Dec 20 Price at trade entry: $132.90 Price at this post: $133.95 Reasoning: Just 2 weeks into this trade, we’ve already reached 70% of our maximum profit. Time to book a win on the call spread portion of […]

Closing Trade : SPY

Stock / Symbol: SPDR S&P 500 ETF / SPY Option Strategy: iron condor Trade entry date: Dec 18 Price at trade entry: $144.90 Price at trade exit: $145.10 Reasoning: Closing this position here would bring the Delta of our overall positions closer to even, from -41 up to -7. At this point, we’ve achieved nearly […]

Closing Trade : QQQ

Stock / Symbol: PowerShares QQQ / QQQ Option Strategy: put spread Price at trade post: $64.20 Price at trade exit: $66.97 Reasoning: Upside stop triggered. Closing Trade Details: STC 1 QQQ Jan13 65 put BTC -1 QQQ Jan13 61 put at the market. If you like, try for a limit of the mid – 0.01.(day […]