Discussion Forum

banner-community-forum

  • From Terrapin Trader on 345 W/e 01DecChristmas is Coming

    Monday opened with a plummet, and being directional -ie long calls is really for me the worst possible position. It’s purely personal Larry Macmillan says the opposite

    2023/12/04 at 10:44 am
  • From Terrapin Trader on 331 W/e25 Aug Erratum, Trade328 missed

    Clearly off my game this week for no good reason. I apologise for missing trade 328.

    2023/08/27 at 7:12 am
  • From Terrapin Trader on 322 W/e23Jun2023 FTSE Drops, Vix Flops

    Stop Press: I’m told that Ice.com prices are in fact live. This would chime with the fact that I logged in at 08:00 few weeks back and saw bid-ask prices. However I had been having comms with ICE and told them this was just pointless at best at worst, disingenuous. Maybe this had some effect. I stand corrected.

    2023/06/24 at 2:49 pm
  • From Terrapin Trader on 320 w/e 09jun VIX Drops Yet Again

    320 now 213.5 from our original 224 and we would not want PIN risk with this week’s Loony tunes action. It’s made10.5.

    2023/06/15 at 10:57 pm
  • From Terrapin Trader on 320 w/e 09jun VIX Drops Yet Again

    Quick up date: All 4 trades in healthy profit.
    317- 37 profit
    318- 24 ”
    319- 23.5,or 24 depending on puts or calls
    320 9- but remember our max profit is only 24.
    We run to expiry of course.

    2023/06/14 at 8:20 am
  • From Terrapin Trader on 317W/e 19May, Flat FTSE, Options Expiry

    Yikes! The Jade Lizard looking ugly. Do we let it run, or adjust?
    We could buy the 7650/7550 put spread for 35, giving us a little leeway on the downside, and remember we took in premiums amounting to 51.
    We are still a fair way off the 7550 level so no cause for panic.
    another adjustment might be to look at the upside risk, the7800/7850 call spread, now worth about 8. Buy that back and sell a 7750 call for 40. We now have 51+32 in premiums taken in, and a risky strangle. We know volatility is mean reverting but when it will revert is another matter!

    2023/05/24 at 12:04 pm
  • From Terrapin Trader on 315 W/e05May A Coronation, A Calendar Spread, and Some Wins

    The cost of trade 315 = 60.5 minus 14×3=18.5. I had hoped the graphic was clear enough to see prices and wanted to bring people’s attention to the calculation, in order to understand how strategies like this work. Being biased with deltas is ok if you intend to be directional, but it’s always worth keeping an eye out so you are not horribly skewed one way or another.

    2023/05/08 at 9:49 am
  • From Terrapin Trader on 312 W/e 14AprVol Drain FTSE Meltup no.2

    Apologies for the late edit.Trade 211 was a back spread.

    2023/04/15 at 3:48 pm
  • From Terrapin Trader on 308 W/e 17Mar Bloodbath at the Bank

    The utter temerity of the banksters -now ramping up the markets like it’s free money time again.
    Trade 308- one option was to close out and take quick 34-38 points.

    2023/03/21 at 2:01 pm
  • From Terrapin Trader on 306W/e03March Long Calls? Short Puts?

    even closing last night …..221.5 and 65 for the call ratio.

    2023/03/10 at 7:54 am
  • From Terrapin Trader on 306W/e03March Long Calls? Short Puts?

    Aaaaaah Dammit. Last night I was reviewing the day’s action and thought it was time to close out, but at the screen late! – the 8100 put was 178 and the call ratio was 65, cost 113 and a clean slate for a drop.

    2023/03/09 at 8:27 am
  • From Terrapin Trader on 296 W/e 09Dec Santa's FTSE Swoon?

    Trade 296- sorry there are typo’s- a bit off my game lately. The debit is 18 but currently it would be 12. Much to be concerned about as the FED announcement tomorrow as per usual is going to be amarket mover, though of course it’s an excuse. A piffling 0.25% doesn’t affect the$ trillions in Wall Street. Wait until rates get over 6%

    2022/12/13 at 10:23 am
  • From Terrapin Trader on 296 W/e 09Dec Santa's FTSE Swoon?

    Trade 295 -making 31 this morning -why do options surprise to the good so often?

    2022/12/13 at 10:20 am
  • From Harry on 284 W/e16Sep Winning with Options

    Hi, do you have annual performance figures?

    2022/09/18 at 1:46 pm
    • From Terrapin Trader on 284 W/e16Sep Winning with Options

      Thanks for commenting, Harry. The ethos of the site is to demonstrate that with no particulkar skills but some study and testing, that you can make substantial gains. We do not look at our annual performance, we are purely ‘warts and all’ educational.
      I’d rather comment on the losers and show adjustments, but we rarely have any.(Not a boast, just seems to go that way)
      Some of the wins are substantial and based on return of capital employed you will often see a return of 20%.
      Options are not thrilling, it is a slow burn, sometimes only for one day, but trades can take up to 45 days. Happy to comment on any trades you may have difficulty with.
      Welcome to the site, and if you really want an idea of annual performance, conservatively we do 2-10% per month.

      2022/09/18 at 2:26 pm
  • From Terrapin Trader on 282 w/e02Sept Going Straddle Crazy

    So, we paid 2.5 for the crazy straddle and it made the best price of 27, while the FTSE then limped back upstairs and the vol drifted sideways not giving us the front month skew we need to make 100+ which this thing does, when it works. Not happy to persist and at close it is now back around 4. Hand on heart we’d have closed this out this morning around 10.30 when it looked like the selling was over.

    2022/09/05 at 6:39 pm
  • From Terrapin Trader on 281 W/e 26Aug Jackson Hole, S&P Plunges

    Never underestimate the power of words. Powell says X, market goes Y

    2022/08/27 at 11:10 am
  • From contactamipro on 281 W/e 26Aug Jackson Hole, S&P Plunges

    Crazy end to the month after all the euphoria, it all comes down!

    2022/08/27 at 10:35 am
  • From Terrapin Trader on 262 W/e 08AprOptions Expiry Looms

    262- when you try to break something it somehow defies the odds and just works. So that trade would now be worth about 124 to close out -in one day. 56 profit, but it can’t really be run to expiry…..or can it?

    2022/04/11 at 8:59 pm
  • From Terrapin Trader on 258 W/e11Mar Calendar Spread time

    258 MASSIVE winner! 96
    257?…… 222.5+18.5 = 241 -that is the cost to close- CREDIT was aggregate 434. 193 MASSIVE WIN!
    What does it take to help peopl understand that options work ?

    2022/03/18 at 8:44 am
  • From Terrapin Trader on 256 W/e 25Feb Options in Unhappy Times

    sidelines proved to be best as this would have beeen closed out for 444 on Tuesday but more likely  an ugly loss of 200 today- Friday with the FTSE at 7168 

    2022/03/04 at 12:26 pm
  • From Terrapin Trader on 254W/e11 Feb Options in a Conflict?

    This morning Trade 254- long 5x Feb 7500 puts short 1x Mar 7500 put did this:
    5 x84, 1×195. While the Mar Put doubled our Feb puts quadrupled.
    Profit 225, minus the cost, 3. Gives us 222. That’s £2,222 for one round turn of this puppy.

    2022/02/14 at 6:22 pm
  • From Thie Week’s Musings on CFD – at May 30, 2021 at 12:49PM – Dave's Finance Ramblings on 221 W/e 28May A Strangler's Dream

    […] https://optionsinvesting.co.uk/221-w-e-28may-a-stranglers-dream/ […]

    2021/05/30 at 12:22 pm
    • From Terrapin Trader on 221 W/e 28May A Strangler's Dream

      We trade options as CFDs are really not helpful- a brutal palying field where > 80% get blown up -good luck

      2021/05/30 at 1:11 pm
  • From Terrapin Trader on 219 W/E 07May Chinese Rocket Week

    Well to quote, the market can “EAT MY SHORTS”
    Our combo- now a credit 79-6= 73 WIN, close out take a break.

    2021/05/11 at 9:35 am
  • From BEK on 219 W/E 07May Chinese Rocket Week

    Duplication from earlier reply. did not check the boxes before ( I believe).

    Let me know what your objective is with the blog and what kind of reactions you are looking for.

    I checked the “strategies tab, but did not get a clear impression about the types of (option) trades you favor.

    2021/05/09 at 5:16 pm
    • From Terrapin Trader on 219 W/E 07May Chinese Rocket Week

      OK This is solely about trading the UK index FTSE100 monthly options which are European style. EAch week I show a different trade. The point is you can win so many ways with options .

      2021/05/11 at 9:42 am
  • From Terrapin Trader on 218 W/e 30Apr Ratio, Puts in May

    132.5- 109 our ratio spread(Trade 218) has absurdly dropped in value from 40 to 23.5. That is our reward- we take 16.5 credit from this. There has to have been a huge drop in vol, the FTSE is up about 50, yet the US is down currently.
    However this is an extraordinary result- we’d take profits here, and run for fun.
    Happy Star Wars day.

    2021/05/04 at 9:09 am
  • From Terrapin Trader on 216 W/e 16Apr Options Expiry. Straddle, Losses and Reactive Trading

    In retrospect doing nothing would have given us at least a 30% profit but we have locked in a solid 16% with little risk and possibility of bigger rewards.
    What would you do? The straddle was ‘cheap’ and theta was not not brutal in the first day.

    2021/04/22 at 11:16 am
  • From Terrapin Trader on 216 W/e 16Apr Options Expiry. Straddle, Losses and Reactive Trading

    So as of last night here’s the maths: our initial debit 195, with the legging in we have a zero cost (tiny credit ) trade. What if we closed out?
    7050 straddle now 61+135= 196
    our call position 61 minus 28 +18.5 = 14.5 credit(7050 long, short at 7150, 7200)
    our put position 7050/6950/6850 butterfly: 135+57.5, minus 88×2=176. Credit of 16.5
    We made 30 on our initial debit of 195 with almost no risk and a lame market.

    2021/04/20 at 8:13 am
  • From Terrapin Trader on 216 W/e 16Apr Options Expiry. Straddle, Losses and Reactive Trading

    So- as promised we leg in by selling 2x 7150 calls at 36 =72
    we buy 1×6850 put at 48= 48
    we sell 2×6950 puts at 91=182(market has dropped but only 40 points)
    We now have a put butterfly and a call ratio spread,
    and a small credit of 206-195= 11.
    We use that to roll up our short 7150 call to 7200. Now our risk is out further to 7300.

    2021/04/19 at 3:25 pm
  • From Joe on 207 W/e12Feb Economy Crushed, FTSE Up

    Good presentation!

    2021/02/15 at 7:43 am
    • From Terrapin Trader on 207 W/e12Feb Economy Crushed, FTSE Up

      Thanks

      2021/02/15 at 8:17 am
  • From Terrapin Trader on 204 W/e22Jan-Biden's Options

    I was hoping for some feedback- those Deltas in Trade 204
    6800 call long + 32
    5700call short -45
    5700put short +58
    5600 put long -43
    Actual Deltas +02 as you’d expect from any kind of butterfly

    2021/01/24 at 8:47 am
  • From Terrapin Trader on 200 W/e 18 Dec Strangles, Ratios, Butterflies

    As captured this morning -prices for Trade 200 but seriously, this may not go well as they are highly variable and unknown.
    Strike 6150 355 for the call and 59.5 (x3) for the put
    or
    Strike 6200 314 and 69(x3)
    The above for January expiry – the calcs to be shown in due course

    2020/12/21 at 10:31 am
  • From Terrapin Trader on 192 W/E 09Oct Butterfly Strangle Options Trade

    Apologies- late with the weekend strangler: 6200 call 63.5 5700 put 64. Nov expiries

    2020/10/12 at 9:29 am
    • From Michael on 192 W/E 09Oct Butterfly Strangle Options Trade

      Where do you get your ftse 100 options quotes from?, the quotes are hard to find, I would like to start trying out some strategies that I sue for SPX.

      2020/10/30 at 5:46 pm
  • From Terrapin Trader on 191 W/E 02 Oct Revisiting The Jade Lizard

    189 41+ 22 for the original, and for the Delat neutral 31.5 plus the original credit 30. Deffo a nice win.

    190 Debit 4 now it’s…. 24.5-(12 +3)= 19.5. Well you have nearly quintupled your stake!

    191 The Jade Lizard … now 25 to close- we took in 51, so let’s say we close out and take 50% of max profit. Happy?

    2020/10/08 at 10:17 am
  • From Terrapin Trader on Trade 189 Week Ending 18 Sept Options Expire

    Yowser!!!! Did not see such a drop coming and this has spanked trade 189 in its full delta neutral state. Should have stuck with plan A the 3 to 1 ratio. However one day’s drop doesn’t make a catastrophe.
    The weekend strangler?….. Said they’d go belly up sooner or later, and such a strategy opening the trade before the weekend means sitting on a lot of discomfort as in the long run it looks like they might break even or at worst lose money hand over fist. FTSE has been kind in the last month or so. There may be much more pain to come. Stay safe people.

    2020/09/21 at 5:13 pm
  • From Terrapin Trader on Trade 189 Week Ending 18 Sept Options Expire

    Apologies for minor edit having missed out a link and a typo

    2020/09/19 at 2:51 pm
  • From Terrapin Trader on Trade 188 Week Ending 11 September

    So… our little combo did hardly anything -at best about 6, but let’s see what happens
    The weekend strangler using those same options? Dammit -95 so it made 114-95= 19.
    I think long term it’ll break even with a lot of sleep lost

    2020/09/15 at 2:12 pm
  • From Terrapin Trader on Trade 182 Week Ending 31July

    Trade180 now 13.5 credit
    Trade 181 poss 23
    Trade 182-no change!- despite the huge move- this is purely a volatility play
    Weekend strangler 72 credit to open- now 82.5

    2020/08/04 at 7:56 am
  • From Terrapin Trader on Trade 177 Week Ending 26June Hitting The Beaches Adversely

    Trade 177 could close out for small credit 6.5, added to credit in trade entry 22. Win 28.5 but we run for fun

    2020/06/30 at 9:24 am
  • From Terrapin Trader on Trade 177 Week Ending 26June Hitting The Beaches Adversely

    About 48 to close Trade 176 paid 12.5 -FTSE seems a little unsteady now.300% profit -I’d be boasting about this and selling a trading system for millions if that was the aim.

    2020/06/30 at 9:20 am
  • From Terrapin Trader on Trade 176 Week Ending 19th June Triple Witching

    Well, I’ll eat my shorts! That wretched strangle?… 150.5 to sell to open, 125 to buy to close. 25.5 profit. Annoying? Probably only for me but it comes from high to low vol period

    2020/06/23 at 11:28 am
  • From Terrapin Trader on Trade 175 Week Ending 12 June Normal Has Left The Building

    Good grief!
    Yet again the trade holds up- put is now 70 despite the big drop at the open,and the call is 48. We took in 152 and this is now 118 to close -34 gain. though of course margin would have been hefty

    2020/06/15 at 11:56 am
  • From Terrapin Trader on Trade Zero 0.8 Week Ending 1st May

    Debit 19 -close out for 30 -it’s that easy. Every week.
    May 5000 put 13×3= 39 Jun 5000 put=69.

    2020/05/04 at 10:23 pm
  • From Terrapin Trader on Trade Zero.0.7 Week Ending 24 April

    289 to close-would you? Profit 60 -comfortable winner with more to go…….
    Also the previous weks’ call 3×1 looks rosier too

    2020/04/28 at 10:11 am
  • From Terrapin Trader on Trade Zero.0.7 Week Ending 24 April

    Apologies for my ignorance- it’s YIN and YANG, not YING.
    Karma will doubtless make me pay

    2020/04/27 at 1:28 pm
  • From Terrapin Trader on Trade Zero 0.6 Week Ending 17 April

    The 3×1 call ratio spread. 5800 184.5 6000 (96 x3)= 288. Credit 103.5
    Now cost of 56 to close, so 103.5-56=47.5- would you? It’s a fantastic profit though margin would be ££££££
    Compared to naked(ugh!) calls 96-64.5=31.5.
    We are better by 50% and it’s a shedload more interesting.

    2020/04/21 at 10:34 pm
  • From Terrapin Trader on Trade ZERO Week Ending 06March

    Not sure what to say as the butterfly is still worth about 11 but it’s 1,000 points in the money. Cannot see FTSE jumping that much next week, so personally I’d close out and keep my few pence in the purse. Others may let it run,and the Devil take the hindmost!

    2020/03/14 at 7:41 pm
  • From Terrapin Trader on Trade ZERO Week Ending 06March

    prices for the butterfly: 6300:427-445 6150:335.5-353.5 6000: 261-277
    mid prices 436, 346.5 x2= 693, 269. 705-693= 12. Not a trade to set the world alight but as it’s cheap as chips it has to run.

    2020/03/10 at 4:54 pm
  • From Terrapin Trader on Trade ZERO Week Ending 06March

    Sorry! Omitted a key phrase with the profit potential of our butterfly. I would advise anyone who has allocated time to trading and is sidelined for now to do some research. How long until some genius comes up with a vaccine for cover-19? We have some major computing power now with several quantum computers online. Money will not even be relevant.
    We will return to normality, I believe, but for now, trading is gambling as we have no edge.
    Take a look back at some of the links to free education or you can message us here

    2020/03/08 at 11:53 am
  • From Terrapin Trader on Trade 170 Week Ending 21 February

    We lose trade 170 as the world appears to be in deep trouble with COVID-19. Of course this trader took a hit withown account but had to close out- we may have to suspend our weekly trade ideas as the stockmarket is no longer the place to be, and trading even deep out of the money as I do has been a disaster. Out-of-the-money may not be a term with the market tanking- even 500 points below looks risky.

    2020/02/27 at 2:24 pm
  • From FFS on Trade 169 Week Ending 14th ♥ February

    Fantastic. I’ve been reading your posts since 1999 on the now defunct fool.co.uk site.
    Thanks for sharing.

    On this trade, the potential loss is quite sizeable, as it contains a naked call and put. How would you manage this trade if the index was at 7500 right now (20-Feb)? The short calls would both be ATM, with considerable time value.

    PS – what software do you use to model the P/L for a trade like this. I have Option Net Explorer, but it doesn’t handle the FTSE index.

    2020/02/20 at 12:49 pm
    • From Terrapin Trader on Trade 169 Week Ending 14th ♥ February

      You are 100% correct you do have a naked element on both sides, but given the powerful theta in this last week, premiums will be dramatically crushed for the short options.(Remember we SOLD Feb options and BOUGHT March) Say for example you found FTSE at 7520 at expiry- the short calls would be worth 20×2, but the long March call 7550 would certainly be more than 50. In extremes, you’d be looking to sell more options in the new month,and adjusting dynamically. FWIW I backtested this many years ago and came to the conclusion that in the last week FTSE never does more than ±3.6%.So, I placed a similar trade and FTSE went up 4%. That is a 1 in 200 event, and Sod’s law it would bite me. Back then I lacked the vision to see how I could adjust the position.I should have carried on with it.
      I occasionally use http://optioncreator.com/stuskul
      And ALWAYS use https://www.cmegroup.com/tools-information/quikstrike/options-calculator.html?utm_source=LINKEDIN_COMPANY
      When I post these trades I do only give a few minutes thought, I have my own rules andstrategies which do sometimes coincide with the posts here.
      Delighted to receive comments, always.

      2020/02/22 at 11:35 am
1 2 3 8