LULU has had quite a run since March and has hit my scan based on the consolidation phase. A break past the orange horizontal line with confirmation volume could indicated a price target potential of ~ +8-10%. With low IV, debit call spreads may be a trade that I execute upon price & volume confirmation.
If volume is high enough for confirmation, it appears as though the measured move is ~3421 on the ascending triangle technical analysis pattern. Thanks to the Federal Reserve printing press and the fiscal stimulus that the United States can't afford (given the already precarious debt levels), we seem to be in a risk asset price bubble. Note that the Federal...
IWM appears to be in a reverse head & shoulders pattern with decent upward momentum. With IV rank close to 11 as of the prior close, I will be working an order of 1.75 Db. for a 156/159 call debit spread on the May 17th expiration.
If there is a breakout above the upper handle line, I intend to execute a long synthetic. My price target is the top of the potential cup, around the 67.50 level.
Crude oil has been in a strong downtrend over the past several months, and is currently showing a momentum divergence setup that is presenting an opportunity to execute a long delta trade. With OVX currently above 50, I am working an order to enter into a put credit spread for .16 at the 43.5/43 strikes. I will need a pull back in price of the underlying in order...
Today, I've executed EWZ strangles 30.5/43 C/P @ 1.12 expiring Nov16th (42 DTE) which are the 16 deltas as of this publication. My breakeven levels are 44.12 and 29.38. Currently at 100 IV rank, I'm hoping for an implied volatility contraction in the near future, and will looking to manage at 50% max profit or at 21 DTE.
Today, I've executed a short Future EUR call option expiring in Oct. for a credit of 375 with a breakeven level of 1.193. Price is in a weekly down trend that I think will continue or stay in the Jun/July sideways price chop area. I'll be looking to manage early @ 50% of the received credit if the trade goes in my favor, or take down the trade down at 100% of the...
Earlier today; I executed a short 240/350 (orange lines) Sep 21 strangle in TSLA (at that time the IV rank was sitting in the high 90s) for a credit of 13.37 making my breakeven levels at expiration 226.63 and 363.37. I am looking to managing this trade at a 50% max gain; and will consider taking it down much sooner if IV doesn't begin to fade over a week or so....
As of Thursday 7/12, I've entered into a short strangle 185/230 @ Sep 21 expiration for a net credit of 8.24 in hopes of managing at 50% max profit. Strike selection was a bit on the aggressive side, but saw a double fibs on support and resistance levels outlined in the red and green rectangles, and think that realized volatility is likely to contract over the...
