Opening (IRA): TQQQ June 28th 53 Monied Covered Call
... for a 51.52 debit.
Comments: Re-upping in the June 28th expiry with a monied covered call, as there is no July yet. Selling the -75 delta call against a one lot to emulate the delta metrics of a 25 delta short put to have built-in defense via the short call and to take advantage of call side IV skew.
Metrics:
Buying Power Effect/Break Even: 51.52
Max Profit: 1.48
ROC at Max: 2.87%
ROC at 50% Max: 1.44%
Will generally look to take profit on the entire setup at 50% max.
Comments: Re-upping in the June 28th expiry with a monied covered call, as there is no July yet. Selling the -75 delta call against a one lot to emulate the delta metrics of a 25 delta short put to have built-in defense via the short call and to take advantage of call side IV skew.
Metrics:
Buying Power Effect/Break Even: 51.52
Max Profit: 1.48
ROC at Max: 2.87%
ROC at 50% Max: 1.44%
Will generally look to take profit on the entire setup at 50% max.