... for a 1.64 credit.
Comments: Rolling up the short put aspect of my July 1st IWM short strangle, the short call of which is at the 194 to cut the delta/theta ratio to around 1:1. Total credits collected of 6.33.
It's now delta/theta -12.03/14.85.
Apple after about 7 straight red weekly candles and RSI approaching over sold, got a nice and technically expected bounce this week.
Now what ?
Well, best any one can do is play it level to level since my crystal ball is broken.
150 - Big psych level here and prior support, which since broke is now resistance, could easily see rejection here , however given...
... for a .90 credit.
Comments: Locking in some realized gain here on this little bounce, recentering side risk, and receiving a credit all at the same time. I rolled both sides to the 16 delta strikes, so that the position is back to delta neutral.
Total credits received of 4.69, relative to a current short strangle price for the July 1st 158/194 of 3.28, so...
I multiplied the less risky Dow and Spy while dividing it with a multiple of bio, the Russel and Ark. This shows a clear shooting star candle in development this month which should signal much greater future gains in higher risk stocks and an end to this pullback in the market.
You can see that we had nice rallies the last two times that this has happened on...
ARKK - The bearish sentiment and hate against miss Cathie Wood is pretty strong as her flagship ARKK fund has gone from a high of $160 to low $35 this past week, nearly erasing ALL gains and now total 5 year return in line with the market at 13.8%. If you're a contrarian, you love the idea of going long here.
I prefer technical and price action which as of now I...
Very high chance of this gap - at $165 - filling to the downside.
It's just a matter of when - not if.
Very possible that we see zig-zagging A B C D patterns to the downside before it fills - I don't think we will waterfall down to that level.
Respecting the downward channel support line so far. Started taking profits on some hedges and adding to longs. Break above 403 and will add more risk long. Sold puts this morning as downside may be capped for now but that doesn't mean we necessarily rip up .
Tough market to trade that's for sure !
Feb 2020 resistance highs which preceded the March covid crash seems to have turned into support for now. Change of polarity or too early too call? We have also reversed and turned above the 200dma
Interesting technical level to monitor
AMC saw bullish Call buying and Put writing today, currently trading +2.7% afterhours . I followed with the 5/20 $13 calls. Bullish confluence in RSI indicator
First line of resistance $14.8/$15 zone will take profits there, with a break to upside implying a further move to $17 zone 10 day MA (blue line)
Lot of supply overhead, move will happen fast where I...
POST keep on watch for blue sky breakout, I added a starter debit spread 80/85c JUL . Option names aren't extremely liquid so would give it some time as an idea with something ITM (either naked but debit spread is more risk friendly).
Made good money on this name after a whale trade , whale is still there buying the JAN 70 calls and looks like they came back...
This is a log chart of $RUT where it has been respecting the 200 week MA for three straight weeks. It also happens to be in the middle of a huge parallel channel dating back to the GFC bottom.
