Trend continued to be bearish as 20 day EMA hovers below 50 day EMA. Recently price not able to hold its head above 20 day EMA and headed below 20 day EMA. Expecting bank nifty would expire below the recent high.
Option traders can sell 21200 call @74 and buy 21800 capp @ 20. Lot size. 20. Max profit of Rs.1080/-(in 3 holding period) if expires below 21200 level.
Implied volatility is falling in this stock as it nears the more or less average price of around 86 per share over the previous 6 months. I think the price might stay in that range after it's recent moves over April and May. JUL19 75/80/90/95 Iron Condor is attractively priced, and is a better play than just the short Strangle or Straddle given the margin requirements.
$S options are priced for a great short strangle opportunity. Black lines represent the break-even points for the JUL19 6/7 short strangle at 4.68 and 8.32, accounting for about a 27% move in stock price by July expiration. With the T-Mobile merger now in an expected wait period due to State lawsuits, its possible that the deal either 1) doesn't happen at all, or...
Short strangle on SPY with a short delta bias. The call is at 288 and put at 259. It is offering about 300$ in premium. My leverage on this is about 0.5x (account balance / underlying notional value). This is a somewhat directional play as well as a short premium play.
Extremely high IVR here in this little over-hyped stock, so I'm using a jade lizard. This trade helps sell some juiced IV, but caps your upside (even allows you to profit from the upside as well) in case the craziness continues.
-1 Oct18 29/34/36 Jade lizard for $2.24 cr.
Risk: 2x cr rec (downside risk); No risk to upside
Profit: 50% cr rec