There is a lack of existing inventory on the market as many existing homeowners are hesitant to sell because of rising interest rates. If interest rates are cut or halted and we experience a soft landing, there will initially be a burst of growth before it stagnantes or sinks
- Since March 2023 housing as a sector has a broad uptrend alignment.
- Buffet is also betting big on housing
110 PUT Contracts sold
Strike 48 (9.78% from strike)
0.23
BP 76K
Premium 2530
I am recording this trade two days after I entered. Because of the high US notes we have seen two broad based drops that has resulted in me being 1% away from strike.
Today I remembered why I was trying to shy away from selling options. Because of the poor Risk/Reward if a trade goes against you. I probably close this tonight and take the loss unless price stays above 48 which is also a S&R point
- Since March 2023 housing as a sector has a broad uptrend alignment.
- Buffet is also betting big on housing
110 PUT Contracts sold
Strike 48 (9.78% from strike)
0.23
BP 76K
Premium 2530
I am recording this trade two days after I entered. Because of the high US notes we have seen two broad based drops that has resulted in me being 1% away from strike.
Today I remembered why I was trying to shy away from selling options. Because of the poor Risk/Reward if a trade goes against you. I probably close this tonight and take the loss unless price stays above 48 which is also a S&R point
Trade closed manually:
Closed at a loss 14,520