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Opening (IRA): TLT January 17th 83 Short Put... for a 1.55 credit. Comments: Probably the last addition to my TLT short put ladder for now. Selling the 83's, targeting a break even that is coincident with the 52-week low. A basic bet that the Fed cuts rates ... at some point ... with the additional notion being that I won't have to hang out in it nearly as long as the DTE suggests when they do. Unfortunately, when I started laddering out, a March cut was on the table, but that has been pushed back to at least June and possibly September, so I probably got a little bigger in the position than I originally anticipated. That will resolve itself somewhat as shorter duration rungs fall off via take profit or roll-out (probably the former).
NASDAQ:TLTLong
by NaughtyPines
Opening (IRA): EWZ Sept 20th 25 Short Put... for a .53 credit. Comments: In for a penny ... . In for a pound. With the July 19th 28 short put looking ripe for assignment (it's still got time, so you never know), adding a rung here out in Sept (there is no August monthly yet). The current position is a Dec 20th 29 Covered Call with a 28.44 break even, a July 19th 28 short put, and a Sept 20th 25 short put. I'll look to add a rung in August once it becomes available, assuming I can get in at strikes better than what I currently have on ... .
AMEX:EWZLong
by NaughtyPines
Opening (IRA): TLT October 18th 84 Short Put... for a .98 credit. Comments: Laddering out at intervals at strikes between 85 and 82, assuming they're paying. This is naturally longer-dated than most will want to go, but is part of a TLT position made up of covered calls (stock + short call) and short puts, so that I'm getting paid for (a) short call premium; (b) dividends; and (c) short put premium over time. Alternatively, it's a "hmm, I really need to get more BP deployed here because I don't really have shit on at the moment" sort of thing ... .
NASDAQ:TLTLong
by NaughtyPines
3
Opening (IRA): SMH 2 x July 19th 210/215 Short Put Vertical... for a 1.00 in credit. Comments: Part two of delta adjustment trade ... . Instead of rolling up the 205/215 short put vertical, I closed it out (See Post Below), and then re-erected a 2 x 5 to delta balance against my call side, whose short leg is at the -32 delta strike. This doesn't increase buying power effect, since the 2 x 5 is equivalent to the 1 x 10 on the call side. The end result is a 2 x 210/2 x 215/255/265 iron condor, -5.79/3.42 delta/theta on which I've netted 3.36 in credits.
NASDAQ:SMH
by NaughtyPines
Opening (IRA): SMH July 19th 205/215/275/285 IC... for a 2.17 credit. Comments: An additive delta adjustment to the current SMH IC I have on. (See Post Below). With the original setup's short call aspect converging on -25 delta and the short put converging on +10, selling a skewed IC with the oppositionally delta'd short call/short put (i.e., at the +25 short put and the -10 delta short call) to bring back the position back to net delta flat with 63 days until expiry. 4.40 total credits collected with a current delta/theta of 1.02/5.81.
NASDAQ:SMH
by NaughtyPines
Opening (IRA): BITO June 21st 24 Short Put... for a 1.82 credit. Comments: Adding a short put on weakness here to my covered call, which I'm sticking in with to grab the monthly divvy. I'm okay with being assigned additional shares, since the break even of the June 24 is below the cost basis of what I currently have on. Otherwise, I'm perfectly fine with doing my usual take profit at 50% of max. Metrics: Buying Power Effect/Break Even: 22.18 Max Profit: 1.82 ($182) ROC as a Function of Buying Power Effect: 8.21% ROC at 50% Max: 4.10%
AMEX:BITOLong
by NaughtyPines
Opening (IRA): TLT July 19th 83/August 16th 83 Short PutsComments: Getting in at strikes better than what I currently have on in July and August. July 19th 83: Filled for an .85 credit August 16th 83: Filled for a 1.11 credit I'm fine with potentially getting assigned with shares at 83, since they're way below the cost basis of the covered calls I currently have on. I knew this might end up being a very, very long duration trade that would potentially take time to work out, but ... yeesh, the weakness. Will look to roll out the most at risk strikes I've got in July (at the 86) and August (at the 85) at some point ... .
NASDAQ:TLTLong
by NaughtyPines
Opening (IRA): SMH July 19th 189/199/255/265 Iron Condor... for a 2.23 credit. Comments: A small engagement trade in the semiconductor ETF (31.5% 30-Day IV). Going somewhat wide here with the deltas, with the short option legs camped out at 16 delta on both sides. I generally like to collect one-third the width of the wings in credit for these, but am going a little more long-dated than usual, so want to give it a smidge more room to be wrong. The assumption here is neutral, with the bet being that it slops around between my short option strikes. I'll generally look to take profit at 50% max and/or adjust sides on approaching worthless or on side test. Metrics: Buying Power Effect: 7.77 Max Profit: 2.23 ROC at Max: 28.70% ROC at 50% Max: 14.35% Delta/Theta: .37/3.01
NASDAQ:SMHLong
by NaughtyPines
Opening (IRA): TQQQ June 21st 52 Short Put... 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 at 50% max. I'm fine with being assigned, then proceeding to sell call against if that occurs. Metrics: BPE/Break Even: 49.51 Max Profit: 2.49 ($249) ROC at Max Profit: 5.03% ROC at 50% Max: 2.51% Delta/Theta: 24.36/3.37
NASDAQ:TQQQLong
by NaughtyPines