Twitter cratered a bit after earnings, so taking advantage of the IV spike.
-1 Sep21 $33/38/39 Jade Lizard for $1.63. No upside risk on this play (will make $63 if expires over $39), $31.37 downside breakeven.
Risk: 2x cr received or continue to roll the put out.
Profit: 50% cr received
-1 Sep21 $33/38/39 Jade Lizard for $1.63. No upside risk on this play (will make $63 if expires over $39), $31.37 downside breakeven.
Risk: 2x cr received or continue to roll the put out.
Profit: 50% cr received
Trade closed manually:
I'm bullish TWTR more now, so I'm closing out this Jade Lizard and selling the $33 put in Oct cycle. I was able to roll the put for $.53 credit.
That means I closed out the Jade lizard for $1.20 db, and sold the $33 put in Oct for $1.73 cr.
$43 winner in about 25 days, little over 1% return on capital if cash secured.
That means I closed out the Jade lizard for $1.20 db, and sold the $33 put in Oct for $1.73 cr.
$43 winner in about 25 days, little over 1% return on capital if cash secured.
Comment:
The stock went against me the entire time as well, but I was able to still eek out a win. Certainly a benefit of selling premium.
