After earnings, Implied volatility rank is still at 50 so looking to add premium to my portfolio theta I Sold the 65/62.5 Strangle on MRK.
Trade: Short 65 Call Short 62.5 Put
Collected $1.85 54% probability of profit
Will look to close at 50% of credit received.
Trade active
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Volatility continued to get crushed as expected after earnings and in one day we are already at 20% of max profit.
If there where a lot of other opportunities to trade I would close this one and redeploy the capital. Since the market is not giving us all the toys to play with then I will leave it and look to close it at the original target of 50%.