AlexanderGotay

AlexanderGotay Updated 

With the strong move to the upside, I am betting that we are starting a new auction between 78 and the 71 levels. So with an Implied volatility Rank of 37, I sold a Strangle at the 30 deltas for a $1.36 credit. As long as the price stays between $78.35 and $71.65, we will be making money. The Trade: Short 73 Puts Short 77 Calls Credit $1.36 per contract 58%...

AlexanderGotay Updated 

DIA IVR 33.8 Sold the 211/215/201/188 Iron condor for $4.70 Target 50% of credit received Ratio 3x the calls spreads for every 1x Puts spreads The trade: Sold (3x) 211 Calls Buy (3x) 215 Calls Sold (1x) 201 Put Buy (1x) 188 Put for $4.70 Max profit $470 Max loss $830

AlexanderGotay Updated 

With IVR of 45 the Q's have the highest Implied volatility out of the index trinity. I sold the 50 days to expiration 142/133 Strangle for $3.39 per contract and will look to close it at 50% of the credit received, for a 72% probability of profit.

AlexanderGotay Updated 

With an Implied volatility rank at 49 I did a Straddle with no upside risk (Big Lizard) on XLK for $2.12 per contract. Our break even is at $51.88 price and with 50 days to expiration that gives us a 78% probability of profit. The trade: Sell 18 AUG 54 Call Sell 18 AUG 54 PUT Buy 18 AUG 56 Call

AlexanderGotay Updated 

After last earnings Costco had a 14% down move. If we take into consideration last year, we have a CVPOC at around $150 Price, and in the shorter term the VPOC is around $167 (2017). That means that those prices are the ones that have traded the most and considered fair for the stock. With an IV Rank at 67 we can sell some premium, so given the down move I...

AlexanderGotay Updated 

Neutral trade on KRE to try and take advantage of what I think it would be two sided action between buyers and sellers. With a Implied Volatility Rank of 33, is still decent to sell a Strangle (53/57). We make money as long as the price stays between 58.77 and 51.23 in the next 49 days, so we have a buffer of around 7% up or down. This gives us a probability of...

AlexanderGotay Updated 

I don't like debit spreads, but sometimes they give a nice risk reward, SPY have a Implied volatility rank of 1.4 at the time of this trade. This is basically a 50/50 trade but we are risking less than the potential max profit. The trade: Buy 242 Put Sell 240 Put Paid 0.65 per contract I did 10 contracts so the max profit is $1,350 and my max loss is $650. ...

AlexanderGotay Updated 

Closed a trade last week and had no position in XOP. Today we had a -2% move down and around 9% in the last month IV rank is not great, but right now not many ETF's have over 20 Implided volatility rank. So I decided to sell a straddle with no upside risk (Big Lizard). The trade: Sold the 33 Call Sold the 33 Put Bought the 35 Call Total credit $2.16

AlexanderGotay Updated 

After a couple of down days in oil OIH have been affected. Now with an Implied Volatility rank of 27 it gives us a chance to sell some premium. A big lizard (Straddle with no upside risk) is a nice probability trade to do in case it decides to bounce back up. Trade price $1.24 per contract The trade: Sellthe Jul21 24.5 Call Sell the Jul21 24.5 Put Buy the...

AlexanderGotay Updated 

With the spike in volatility and knowing that next week might be a slow one I did a short play on volatility. Sold the 8 days to expiration 14 Call on VXX for $0.68 per contract. This is a naked trade and it is a high probability trade, but it can be very risky if volatility explodes. If that happens we will have to defend it, but most likely by the end of...

AlexanderGotay Updated 

In the last 90 days we had a 14% down move and got rejected at the 200 EMA. We might still have more room to go to the downside, but I am betting that we are still correcting and some buyers may start to come in. With an implied volatility rank of 34 and 50 days to expiration, I sold a Jade lizard to eliminate the risk to the upside and still have room to the...

AlexanderGotay Updated 

After some negative news about bribery in the government the Brazil's ETF (EWZ) got killed at the open with a 18% down move. With the Implied volatility rank of the stock at the high's of the last 52 weeks(100%) it means that buying options is going to be expensive, in other words we are going to be selling overpriced options. Betting that this is an over...

AlexanderGotay Updated 

With a low Implied volatility rank of 15 in the real estate ETF I decided to make a directional bet with a debit put spread. This is a low probability trade, but will add some negative deltas to my portfolio. It does have a decent R:R of almost 2:1 so at least I will get paid when I am right and my risk is defined. Bought a Vertical debit put spread on IYR for...

AlexanderGotay Updated 

With IVR at 26 sold the Iron condor 70/73/66/62.5 on XLE with 37 Days to expiration The Trade: Short 70 Call Long 73 Call Short 66 Put Long 62.5 Put Credit = $1.11 55% probability of profit

AlexanderGotay Updated 

High probability trade on XRT with no risk to the upside. Max profit at $41 our break even at $39.85. The trade: Sold Two (-2) 41 Puts for every one (-1) 42 Put for a credit of $0.15 (per contract).

AlexanderGotay Updated 

With an IVR of 51.5 on Microsoft I sold an Iron fly with 29 days to expiration for $2.32 This is a neutral trade and we make money as long as price stays between $65.18 and 69.82 in the next 29 days. The trade: Long 72.5 Call Short 67.5 Call Short 67.5 Put Long 62.5 Put Max win $232 per contract

AlexanderGotay Updated 

With an IVR of 32, I Sold the 37/34 Strangle for $1.52. Our break evens are at $38.52 and $32.48. 58% probability of profit

AlexanderGotay Updated 

Out of the equities ETF's QQQ have the highest IVR of 19. So I decided to do laddered Strangles with 35 DTE and 70 DTE to reduce risk. 144/131 Strangle (Jul 21) for $1.67 142/134 Strangle (Jun 16) for $1.27