Option
Kept under watchlist for short sell or PUT option buying NSE:ASIANPAINT trending for last 5 days and forms enters double top range, under watch list for potential short sell or PUT option buying.Crude oil price variation may have impact on this script.waiting for 15 Mins reversal to proceed with short selling..
LONG Options Trading: Chesapeake Eng(CHK) Buy Call $2 Exp: 7/19
Understanding The trade:
As an options trader my goal is to identify trend change and utilize a breakout strategy to leverage profit off of major trend changes with minimal risk. Even though this contract does not expire till 7/19 I will be looking to take profit by early July as the rate of decay factor starts to come into play as the contract approaches expiry. This should correlate nicely with the Fib Retracement lvl.382. If you have any questions, please feel free to comment below and follow. Thank you and trade safe.
Reasons For Trade:
• Bounced off the Dec 19' low of 1.70~1.80 lvl
• Broken downward channel (1D chart May 20th -June 20th)
• Broken RSI Channel
• RSI Overbought > 30
Trade Parameters:
• Broker: Robinhood
• Cost For Entry: Free
• Contracts: 15
• Entry Price: .13
• Risk: $195
• Reward: $195
• ROI: 100%
• Risk/Reward Ratio: 1:1
Vomiting Camel pattern. This thing could really plummet. Albeit lazily drawn, I present the dreaded “vomiting camel” pattern. I’m not making this shit up. There’s actually a pattern you can look for that is a serious fucking bear when you do. It’s got this ridiculous name for obvious reasons, but here it is and I’ve decided on the 4/46 long put, 17 strike. It cost .66 and is at .69 as of 1053am 4/12. I’m not going to get chased away from this one too quickly as it has potential to really plummet. If it goes sideways I’ll look to roll this one.
Dividend Capture Strategy for easy cash flowDividend Capture strategy for easy cash flow on XOM
Exxon Mobil pays .82 per share quarterly and the ex-dividend date is this Friday (2/8/2019) the dividend pay date is on 3/11/19. So yearly Will get $3.28 (.82x4)for a dividend yield of 4.4% not bad.
But by selling the ATM Put for $1.02 I will increase the premium plus dividend paid for the year to $4.30 and increase the yield to 5.77%. That alone is an improvement of 31%.
If I don't get assigned I get to keep the premium and make over $500 in a couple of days and if I do get assigned then I will sell some calls to keep reducing my basis and improve my yield even more.
The Trade: XOM
Sold 5 ATM Puts @ 74.5 for $1.02
4 days to expiration
Accurate Harmonic Found All this news about global growth and politics are starting to catch up. The harmonic found is really accurate, and so is the most recent correction from the beginning if the year. I bought a put option expiring next month. If you're doing the same thing, buy an option that is only risks 5% of your account. Obviously I'm not an option trader, so only take my advice if you find true value in the analysis.
If I made you money, follow me.
$XLF bullish credit spreadNew bullish credit spread on XLF (financials) for OCT 12! Not this Friday. Solid movement this morning in the market and financials is starting to show strength. Decided to take this move out two weeks to allow for the bottom to confirm and some bullish movement to occur.
Entry 27.79
Max profit 28.50
Break even 28.14
0.38:1 risk/reward
$XLK bullish credit spread for this #FridayHigh risk bullish credit spread on XLK . Solid gap down in tech this morning, but not showing signs of continuation bearish. This is one of the set-it and forget-it spreads as we will let it go all the way till exp.
Entry 74.33
Break even 74.72
Max profit 75
0.78:1 risk/reward
More info at wingtrades.com