20th March 2022 KWEB (Chinese internet ETF) Since China says it will support Chinese IPOs abroad, calls for closure on tech crackdown last week, we can see most Chinese ADR shares shoot up. If KWEB fall below $20, will not be a good sign. Otherwise, this ETF is good to enter for long term investor. As for trading, long whenever it pull back.
An inflationary scenario could see an absolutely HUGE catchup in Chinese tech relative to the nasdaq. I am LONG KWEB
I'm going to start buying KWEB aggressively after this has just broke down on that support line China Tech ETF
... for a 6.67 debit. Comments: Took the opportunity to close out this inverted setup while I had the chance to scratch it out. Collected a total of 6.77, (See Post Below), so made a whopping .10 ($10) on it, which is better than a loss. Rank/implied remains decent at 62/53.6, so may re-up tomorrow depending on what underlyings float to the top of my screener.
... for a .12 debit. Comments: Added this for a .63 credit to my inverted 35C/39P short strangle to rapidify cost basis reduction and improve my break evens. (See Post Below). Since price is back between my short strikes and the short put is approaching worthless, I'm taking it off here. Total credits collected of 6.77 with break evens of 32.23 on the put...
... 35.42C/39.42P short strangle for a 1.04 credit. Comments: Another inverted that I'm rolling out a tad early and on which I've collected a total of 5.25 in credit. (See Post Below, to which the 1.04 credit received here should be added). Like ARKK, it also experienced a distribution, which ended changing the strike prices. In any event, it's a 4.00-wide...
Earnings: TSLA (63/69). Announces on Wednesday after market close, so if you're looking to play the volatility contraction, look to put on a play in the waning hours of Wednesday's session or, if implied volatility afterglow persists, early Thursday after it has made its move. If NFLX earnings is any indication of whether TSLA will "behave," you may want to...
I haven't done one of these in quite some time, but thought I'd do one over this long holiday weekend. Earnings: I looked at a number of these for next week (there are quite a few) and have culled things down to the most liquid options underlyings, ideally with implied volatility rank >70% and 30-day greater than 50%. Only NFLX really fits that bill, even...
I think it's either the bottom or very close to it. Worth taking a punt here, risk 3 average ranges down and go for the gold . Let's see how this one works out, I'm not risking big on China overall, but from a contrarian standpoint it is really interesting as to pass on it here. It will be more confirmed once the daily chart flashes a bottom signal, this would...
$PDD is one of (if not) my favorite charts and companies for 2022. Growth in digital commerce/advertising, unique product and deep discount given China turmoil. Weekly bullish divergence ... Jan ‘23 $100C 💡 $BABA $KWEB $ASHR $SPY $QQQ #Pinduoduo #China #Stocks #Options #Trading
... for a 1.13 credit. Comments: Rolling the short call leg of my short strangle down defensively below my 43 short put, so I'm now inverted to a two wide (the 41C/43P). Total credits collected of 4.21 (See Posts Below), so I'm functionally long the 43's with a cost basis of 43 - 4.21 = 38.79.
... for an .80 credit. Comments: Rolling the short call aspect of my short strangle down to cut net delta in half here on this sell-off. I've collected a total of 3.08 in credits, with the resulting short strangle being the January 17th 43/47.
... for a .68 credit. Comments: Selling a delta cutter against the 43 short put I already have on in the cycle (See Posts Below) to cut net delta/directionality, so I've now got a January 21st 43/55 short strangle on with a cost basis of 2.28. The position remains net delta bullish.
IQ is the "youtube" of China. Last Quarter, they said it expects third quarter revenue of $1.18 billion to $1.25 billion. The daily chart is a bottoming pattern, similar to $VIPS I just posted. The POC is $15, I am looking .618 retrace to $11.95 Options - Its fairly even with put call ratio at .97, with $9.5 call and 8.5 put with largest OI
... for a .56/contract credit. Comments: Rolling out at >50% max here for a realized gain and a credit and without taking on additional risk. I originally filled this a 1.04/contract credit (See Post Below), so have collected a total of 1.56 relative to a short put value of 1.04 (i.e., realized gains of 1.56 -1.04 = .54/$54). Implied remains relatively decent...
... for a 1.04 credit/contract. Comments: 30-day at 45.4% and at or near a 52-week low. Sold around the 20 delta here and will look to take this particular trade off on approaching worthless. 8.9% ROC at max as a function of buying power effect.
(Opinion only)
See chart following the double bottom and my projected Elliot Wave Pattern