Crude oil prices have remained lacklustre and rangebound in 2024. Slow economic growth and abundant production have kept prices muted. OPEC's efforts of supply cuts haven’t helped. Neither have geopolitical tensions. Over the past two weeks, oil prices have once more started to pick up steam, supported by trend of shrinking inventory. Despite the price buoyancy,...
Everything is clear Spread of war could move price even higher
... for a 1.72 debit. Comments: Mixin' and matchin' profitable call with profitable put ... . Net credits received after closing: 2.39 with just the 58/89.5 short strangle remaining.
... for a 1.31 debit. Comments: Took this off earlier in the day, mixing and matching profitable call with profitable put from strangles I put on over time ... . Net 4.11 credits collected at this point, leaving me with the 58P/60.5P/85.5C/89.5C. With the entire position marking at 3.25, so I'm up .86 ($86) at this point.
... for a 1.58 credit. Comments: An additive delta adjustment trade, selling the -16 delta call and the +10 delta put to pick up -6 of net delta. 1.58 credit on buying power of 4.48. Total credits collected to date: 5.42. Entire Position: 58P/59P/60.5P/85.5C/88C/89.5C
... for a 1.29 debit. Comments: Mixing and matching profitable call with profitable put from short strangles I erected over time. 3.84 net credits received to date, leaving me with the 59P/60.5P/88C/89.5C. I may go ahead and sell a new short strangle in August to delta balance the entire position back to net delta flat here.
... for a 1.77 credit. Comments: Selling the +14 delta put and the -12 delta call here as an additive delta adjustment trade to bring the entire position back to net delta flat. Entire Position: 58P/59P/60.5P/88C/89C/89.5C Total Credits Received: 5.13
... for a 1.02 debit. Comments: Mixing and matching profitable short call with profitable short put from the /MCL short strangles I put on in August (See Posts Below). This leaves me with the 58P/59P/88C/89.5C with a cost basis of 4.38 - 1.02 or 3.36.
... for a 1.37 credit. Comments: An additive adjustment trade, shorting the +12 delta put and the -8 delta call to flatten out net delta in the position. (See Post Below, for /MCL short strangle opened on 5/19).
... for a 1.39 credit. Comments: Selling the 10 delta's here both sides. Will look to manage sides on approaching worthless or on side test. 1.39 on buying power effect of 3.51; 39.6% ROC as a function of buying power effect at max; 19.8% at 50% max.
... for a 1.37/contract credit. Comments: Selling 10 delta on each side. 1.37 credit on buying power effect of around 3.54/contract. 38.7% ROC at max as a function of buying power effect; 19.4% at 50% max. Will generally leave the setup alone, adjusting only on side test or side approaching worthless. While I like to generally hang out for 50% max, I won't...
... for a 1.34/contract credit. Comments: Going wide, nondirectional here, looking to generate around a 25% ROC as a function of buying power effect, so ended up selling the 10 delta on both sides. 1.34 on buying power effect of 4.50; 29.8% ROC at max as a function of buying power effect; 14.9% at 50% max. Will generally look to leave the setup alone,...
... for a 7.66 credit. Comments: Re-establishing here with 47 days in the April monthly to go ... . As before, will primarily make additive adjustments to get to the size of position I want and then look to just rolling sides in for adjustments without adding units.
... for an 8.01 credit. Comments: Re-establishing in the April monthly with 49 days to go. 8.01 credit on buying power effect of 8.87. 90.3% ROC as a function of buying power effect at max; 22.6% at 25% max. 67.99/84.01 break evens. As before, will look to add until I get to the size of position I'm comfortable with, then do additive, subtractive, and...
... for an 8.56 credit. Comments: Re-upping in /MCL. 8.56 on buying power effect of 8.65 with 67.69/84.81 break evens. As before, will look to do adjustments at intervals to keep the position from getting too directional.
... for a 7.10 credit. Comments: I still have a little bit of time in this cycle (35 DTE) to putz around with reverse gamma scalping /MCL, so putting on a fresh short straddle at the 78 strike for the starter position. Will generally look to make additive adjustments to keep the delta/theta ratio <1.0 right up until 21 DTE, at which time I'll take the whole...
... for a 9.19 credit. Comments: A short delta additive adjustment trade here to cut net long delta in my entire /MCL position by about half, with the goal being to keep the delta/theta ratio under 1.0. The entire position still leans net long, but I will leave it that way to see if the market does some of the lifting for me. Total credits collected of 13.90....
... for a 1.33 credit. Comments: An additive delta adjustment trade, selling the +13 delta put at the 70 and the -8 delta call at the 101. The position still leans net delta short here, which I'm fine with since WTI is toward the top of its 30-day range. * -- The 70 is shown at the 69 strike.