SPY 21-Jun-19 30-Day IV: 17.4 IV Pct Rank: 83% Elevated Short Iron Condor Long 1 Call: 301 Strike @ $0.85 Short 1 Call: 300 Strike @ $1.07 Long 1 Put: 264 Strike @ $1.89 Short 1 Put: 265 Strike @ $1.99 Credit: $0.31 Open Interest Last 30 Days Puts: 58% | Calls: 42%
... for a 1.09/contract credit. Another premium selling play, small, defined in the semicon exchange-traded fund with implied volatility at nearly twice that of the broad market ... . Collecting slightly greater than one-third the width of the wings. Will look to take profit at 50% max. The naked 110/126 short strangle in the June cycle is currently paying...
TWTR (41/54) announces earnings on Tuesday before market open; pictured here is a May 17th 30/39 short strangle. Metrics: Max Loss/Buying Power Effect: Undefined/3.50/contract Max Profit: 1.09 Break Evens: 28.91/40.09 Delta/Theta: -3.99/4.92 Front Week to May Opex Volatility Differential: 41.5% Notes: Look to put a play on in the waning hours of the Monday...
... for a 1.67/contract credit. Metrics: Max Profit: 1.67 ($167) Max Loss/Buying Power Effect: 3.33 ($333) Break Evens: 83.33/99.67 Delta: -2.03 Theta: 2.02 Notes: Some nondirectional premium selling here in an exchange-traded fund with high implied (24.8%) relative to the broad market; going 25 delta with the shorts, five-wide with the longs and collecting...
SPY 29-Mar-19 IV30: 10.5, IVR: 35% (Moderate) IVMA20: 11.4, ATM IV: 10.3 Short Iron Condor +0.19D Long 1 Call: 286 Strike @ $0.54 -0.25D Short 1 Call: 285 Strike @ $0.78 -0.11D Long 1 Put: 272 Strike @ $0.43 +0.09D Short 1 Put: 273 Strike @ $0.50 -0.08D Credit: $0.33 PCR: 74:26
QQQ 17-May-19 IV30: 14.3, IVR: 18% (Subdued) Short Iron Condor +0.24D Long 1 Call: 186 Strike @ $1.37 -0.28D Short 1 Call: 185 Strike @ $1.67 -0.09D Long 1 Put: 159 Strike @ $0.78 +0.10D Short 1 Put: 160 Strike @ $0.85 -0.03D Credit: $0.37 PCR:68:32 Stop Loss: 189 Target: 168
CELG 18-Apr-19 IV30: 48.2, IVR: 98% Short Iron Condor +0.05D Long 1 Call: 100 Strike @ $0.15 -0.19D Short 1 Call: 95 Strike @ $1.00 -0.07D Long 1 Put: 65 Strike @ $0.62 +0.15D Short 1 Put: 70 Strike @ $1.40 -0.06D Credit: $1.63 PCR: 41:59 --------------------------------------------- CELG 18-Apr-19 IV30: 48.2, IVR: 98% Short Iron Butterfly +0.53D Long 1 Call: 85...
Apr-18 BMY IV30:38.8, IVR:98 (Elevated) +0.21D Long 1 Call: 60 Strike @ $0.88 -0.42D Short 1 Call: 55 Strike @ $2.09 -0.02D Long 1 Put: 40 Strike @ $0.06 +0.10D Short 1 Put: 45 Strike @ $0.37 -0.13D Credit: $1.52 PCR=26:74
ROST 15-Mar-19 IV:45.2, IVR: 100% (Elevated) +0.20D Long 1 Call: 100 Strike @ $0.83 -0.32D Short 1 Call: 97.5 Strike @ $1.53 -0.06D Long 1 Put: 80 Strike @ $0.28 +0.10D Short 1 Put: 82.5 Strike @ $0.45 -0.08D Credit: $0.88 PCR: 45:55 Highest Call OI @ 100, 97.5 and 95 indicating high volume of naked calls or bear call spreads.
AMZN 18-Apr-19 IV30: 23.2, IVR: 19% (Subdued) +0.11D Long 1 Call: 1830 Strike @ $6.83 -0.12D Short 1 Call: 1820 Strike @ $7.78 -0.11D Long 1 Put: 1460 Strike @ $8.85 +0.12D Short 1 Put: 1470 Strike @ $9.85 0.00D Credit: $1.95 PCR: 43:57
CROX 15-Mar-19 IV: 74.9, IVR: 100% (Elevated) +0.07D Long 1 Call: 36 Strike @ $0.13 -0.09D Short 1 Call: 35 Strike @ $0.18 -0.14D Long 1 Put: 24 Strike @ $0.38 +0.20D Short 1 Put: 25 Strike @ $0.58 0.04D Credit: $0.25 PCR: 76:24
MSFT 18-Apr-19 IV30: 17.8, IVR: 19% (Subdued) Short Iron Condor +0.05D Long 1 Call: 125 Strike @ $0.16 -0.17D Short 1 Call: 120 Strike @ $0.64 -0.09D Long 1 Put: 100 Strike @ $0.42 +0.18D Short 1 Put: 105 Strike @ $0.91 -0.03D Credit: $0.97 PCR: 41:59
NLSN 17-May-19 Short Iron Condor IV30: 52.10%, IVR: 99% +0.07D Long 1 Call: 32 Strike @ $0.15 -0.13D Short 1 Call: 31 Strike @ $0.28 -0.10D Long 1 Put: 19 Strike @ $0.35 +0.14D Short 1 Put: 20 Strike @ $0.50 -0.02D Credit: $0.28 PCR:35:65
Mar 15 - WMT IV30: 25.6%, IVR: 82 (Elevated) DTE: 18 Short Iron Condor +0.05D Long 1 Call: 110 Strike @ $0.14 -0.22D Short 1 Call: 105 Strike @ $0.77 -0.04D Long 1 Put: 85 Strike @ $0.19 +0.11D Short 1 Put: 90 Strike @ $0.46 -0.10D Credit: $0.91 PCR=32:68
METRICS: Max Profit: $175/contract* ($87 at 50% max; 38.7% return on capital) Max Loss/Buying Power Effect: $225/contract Break Evens: 93.25/121.75 Delta: .26 Theta: 121.75 Notes: Another scrounge-around trade in an underlying with fairly high rank/high implied (51/45) post-earnings. Obvious Alternative Setups: April 18th 95/120 short strangle, 5.11 at the...
When trading in a small account, it is very important to be efficient with the capital used. That is why, even though is not the optimal trade we are forced to trade using defined risk strategies like Iron Condors. This is the continuation of the portfolio started in our How to trade options series, where we start a portfolio from scratch. We started a $5,000...
Although M&M slipped sharply after its monthly numbers, it is probably tracing a triangle. The upside should be capped for few weeks to recent highs around 814. Downside may extend to 720 (not beyond for few days). Seems good candidate for short strangle. Can also do a broken iron condor by adding a put protection to the downside, should ensure minimal loss if...
This is a short Iron condor Example for Accounts that can't do naked options. Instead of a Strangle We can buy the wings ($5 wide minimum) and make it an Iron Condor. This will defined our risk and our capital need it for the trade is just $325. This is a neutral strategy with a little downward skew given the rally the last couple of days. Sold: 147 Put 168...