Bought a one lot of shares and sold an in-the-money -75 delta call to emulate a 25 delta short put to take advantage of call IV skew and to have built-in pro via the short call.
Metrics:
Break Even/Cost Basis in Shares: 52.71
Max Profit: 2.29 ($229)
ROC %-age at Max: 4.34%
ROC %-age at 50% Max: 2.17%
Will generally look to take profit at 50% max, add at...
On this 15 minute chart, TQQQ is in an anchored VWAP band and volume profile breakout.
Near to the end of the regular market, the RSI indicator ran from deep oversold. After hours,
NVDA reported a sizable earnings beat. The AI machine learning and backtesting indicator
forecasts and uptrend continuation. I will get call options targeting $58 for...
TQQQ on a weekly chart in 2021 ascended into a falling wedge. As part of the falling wedge,
it started the downside initial part of a cup and handle pattern. The reversal occurred 11
months ago with the upside completion of the cup back to 57.5 In the typical cup and handle,
the handle then forms in a 50% retracement of the height of the cup. the cup height...
... for a 2.49 credit.
Comments: Adding to my TQQQ position on weakness ... . This is a bit longer-dated than I like to go with shorter duration premium selling, which I like to keep in that 45 DTE wheelhouse, but May has now only 35 days in it, and I like to stick to monthlies in all but the most options liquid underlyings.
Will generally look to take profit...
The markets have given us some clear direction over the last few months, albeit we are at quite high levels and I would expect a pullback at some point.
There are 2 important clues here that are clearly visible on the chart.
The first is a continuous strong move up as illustrated in the channel. We can clearly see the supply and demand zones flipping once...
... for a 1.54 credit.
Comments: Adding a short put component to my TQQQ covered call (See Post Below) here on weakness.
Metrics:
Break Even/Buying Power Effect/Resulting Cost Basis In Stock: 50.46
Max Profit: 1.53/$153
ROC at Max: 3.03%
ROC at 50% Max: 1.52%
Will generally look to take profit on the covered call component at 50% max and the short put...
... for a 50.93 debit.
Comments: Selling the -75 delta strike against a one lot to emulate a 25 delta short put with built-in defense via the short call.
The call IV skew that I was looking to take advantage of before has evaporated somewhat, with the same strike short put paying about the same (1.94) as the max profit potential of this setup. Since I'm...
I bought TQQQ PUTs yesterday and today to play the QQQ sale.
On March 1, we reached a new high.
Since October 26, 2023, TQQQ has doubled, a blast seems to have arrived.
RISK MANAGEMENT
Initial target 1% of my capital as short selling is very difficult.
Transaction risk 0.5% of my capital as this is the only element I can control in trading. That's why I buy...
You seriously can't make this stuff up. Whatever happens in November--whoever wins the election, unless the country literally falls apart (and even then, who can say this would end?)--A presidential election is always followed by a sense of certainty for the next 4 years, massive spending, and massive money printing. What else can we say.
Not financial advice....
Technical Breakout:
On November 13, 2023, NASDAQ:TQQQ experienced a significant structural shift with the breach of the $40 resistance level. The subsequent bull run in the tech sector propelled NASDAQ:TQQQ to a peak of $61.22 on February 12, 2024.
Fibonacci Retracement:
After reaching the peak of $61.22 on February 12, 2024, NASDAQ:TQQQ made an...
... for a 47.75 debit.
Comments: Dabbling a smidge in the leveraged ETF due to its high IV (56.3% 30-day).
Selling the -75 delta call against a one lot to emulate a 25 delta short put, but with "built-in" defense via the short call, which can be rolled down, out, or down and out to reduce cost basis and setup break even.
As usual with the sort of thing, will...
At least these days there will be a new high in NASDAQ:TQQQ thanks to AI and the outstanding results from $NVDA.
This new bull flag will take ud to 64.20 level.
I bought TQQQ PUTs today to play the QQQ sale.
Since 26 October 2023, the TQQQ has doubled , a breath seems to have arrived.
In addition, inflation was slightly higher than forecast today.
Finally, my technical indicators are all overbought.
Trading Idea
1) Find a FIBO slingshot
2) Check FIBO 423.60% level
3) Touched 61.6/423.60%
Chart time frame : D
A) 15 min(1W-3M)
B) 1 hr(3M-6M)
C) 4 hr(6M-1year)
D) 1 day(1-3years)
Stock progress : D
A) Keep rising over 61.80% resistance
B) 61.80% resistance
C) Hit the bottom
D) Hit the top
Stocks rise as they rise from support and fall from resistance. Our...
I don't like this setup. The recent increases we've seen are just to reach the edge of a wedge, which is the classic movement before a fall, and the wedge has a descent of 25%.
so, be careful!
Today, the price broke above the support line of the ascending wedge at $54.30. This is a normal occurrence, and if the trend is bearish, we should anticipate a contraction in the coming week. The creation of this structure occurred before a symmetrical triangle, so that wedge is likely to be invalidated. I believe we are in for an interesting week with upcoming...
Per request, someone asked to share my strategy and how / why I enter/exit trades.
I decided to be specific and applicable to the current market sentiment and discuss how I trade “choppy markets”.
My personal rules for trading choppy markets are:
1) No options, shares only
2) GTFI and GTFO ASAP
3) Only trade when there is a support or resistance respected...
