All Entries in the "Strategies" Category
Trade 75 With Market Moving Events Possible, We Limit Risk
Felling Distinctly Uneasy About Global events Sorry but this is not a well thought out strategy. I have concerns that matters could get ugly very quickly in this coming week. Normally we’d be concerned as it is expiry week and there is PIN risk. This is just so flippant in the context of current […]
That Was The Week Ending 13 April
Catch Up on Previous Trades. Trade 74– weird and profitable. Remember it was a 2×3 selling the far month straddle twice and buying the near month 7175 straddle thrice. Credit of 80, now 107.5 x3, 194.5×2= 66.5 to close. So we have a profit of 13.5. I am not even sure of […]
Naked -Not So Much Fun- Trade 72 Special
This Was The Trade: SELL the 7150 call @19.5 (230 OTM) and SELL the 6300 put @20 (620 points OTM). Credit 39.5. Risk at 7190 and 6260 FTSE was 6920 on March 23rd- now it is 7264. OUCH! FTSE has risen 5% since 23rd March. Why? Too much money chasing a home? Or this: […]
Trade 74 Something New and Experimental
Trade 74 Let’s try something What are we looking at? A strategy that might make some sense, or not. This is a first and I have to confess it’s […]
That Was The Week Ending 06April
Some Housekeeping First: Trade 73 Another Victory For the record- Trade72 would still be underwater if we’d run as a straight strangle but next week might see some big downside. So our short 7150 calls will likely be a bit less juicy,and in our favour. Last week we ran through some adjustments,and we don’t have […]
Trade73 Cheap and Cheerful
Trade 72- What’s the Story? Remember? Strangle at 7150 and 6300, credit of 39.5. Now the whole thing has gone a bit lopsided, what are the options (doh) for adjusting? The puts are now over 10% OTM so no worry there, the calls are close to the money at 100 points above so here’s how […]
That Was The Week ending 23March
Volatility rising as the market drops 23Mar2018 ICYMI Trade 70- Not For the Faint hearted Our trade would have been a disaster if we’d hung on. I did claim ‘author’s rights‘ as we aim to educate and I have not been around to record historic prices- apologies. You would have smashed it had you sold […]
Trade 71 Xmas Festivities? – It’s The snow
Something a Bit Left Field But Not Too Crazy We always want to educate and entertain- in that order. So this week’s offering is something a little unusual in the size of the legs,and this trade has 4 legs. Sounds like a bit of a Frankenstein but it can be called a Christmas tree,as pictorially […]
Trade70 -This Kills Me, But Maybe It’s The Smart Move
The Trade Calculations, or Math – You Decide! The calculator courtesy of http://www.cboe.com/framed/IVolframed.aspxcontent=http%3a%2f%2fcboe.ivolatility.com%2fcalc%2findex.j%3fcontract%3dD846C3FB-A0CA-474C-8C95-635BAACF0084§ionName=SEC_TRADING_TOOLS&title=CBOE%20-%20IVolatility%20Services Showing FTSE April 6900 Put @29 and &7350 Call@33.5 – so what’s the trade? Hold on to your horses here and let’s look at some key factors. Is The Market Headed Back Up? I don’t know where it’s going but one or two […]
