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We’re going to sell another round of put spreads. We’re looking for a credit of between 0.80 and 0.90 cents for a 10 point wide credit spread.
Order Ticket Type Asset Duration Strike C/P Sell To Open SPX 21SEP 18 2820 Put Buy To Open SPX 21SEP 18 2810 Put Total Credit: 0.85 I’m going to take this trade off at 50% of MAX potential profit in just 8 days (out of 45 days or 17% of DTE).
Order Ticket Type Asset Duration Strike C/P STC SPX 05OCT 18 2790 Put BTC X2 SPX 05OCT 18 2780 Put STC SPX 05OCT 18 2750 Put Total Debit: 1.00 Risk Profile:
GOOGL looks like it’s ready to move to test previous All Time Highs.
We’re taking a directional bet using all calls. This is an OTM Call Butterfly.
We’re buying 1250/1300 Call spread while simultaneously selling a 1300/1350 Call spread.
This is a NET debit transaction. We’re looking to make about 30% Return On Risk.
We don’t want to lose a lot more than what we’re looking to make.
Order Ticket Type Asset Duration Strike C/P BTO GOOGL 05OCT 18 1350 Call STO X2 GOOGL 05OCT 18 1300 Call BTO GOOGL 05OCT 18 1250 Call Total Debit: 12.80 Risk Profile:
The stock has moved 35 points lower since entry and it has reached our stop. We’ll exit this trade for a loss and look to re-position.
Order Ticket Type Asset Duration Strike C/P STC GOOGL 05OCT 18 1350 Call BTC X2 GOOGL 05OCT 18 1300 Call STC GOOGL 05OCT 18 1250 Call Total Credit: 8.90
Risk Profile:
SPX at 2898.
We’re going to roll up 2930/2940 Bear Call spread up 20 points to 2950/2960.
This is a debit trade, current mid price showing 1.40 debit
Order Ticket Type Asset Duration Strike C/P Buy To Open SPX 21SEP 18 2960 Call Sell To Open SPX 21SEP 18 2950 Call Sell To Close SPX 21SEP 18 2940 Call Buy To Close SPX 21SEP 18 2930 Call Total Debit: 1.40 Risk Profile:
SPX at 2895.
VIX at 13.61I’m looking to sell an Iron Condor in 31OCT expiration cycle with 56 days to expiration.
I am looking to sell a Bear Call spread that pays close to .85c credit and a Bull Put spread that pays around .85c as well, for a total credit of 1.70 or higher. I want to keep my credit fairly balanced between both spreads. For example, I don’t want to see 1.20 credit for one side and .50c for the other. I want to keep credits as close to .80-.90 per side.
I’m selling:
2740/2730 Bull Put spread
3030/3040 Bear Call spread
Order Ticket Type Asset Duration Strike C/P Buy To Open SPX 31OCT 18 3040 Call Sell To Open SPX 31OCT 18 3030 Call Sell To Open SPX 31OCT 18 2740 Put Buy To Open SPX 31OCT 18 2730 Put Total Credit: 1.70 Risk Management: I will use OTM options to hedge this Iron Condor when 3030v Call’s delta reaches 20 and 2740 Put’s delta reaches 25.
Price levels for adjustments: 2940 and 2820
Profit Target: 50-80% credit
MAL: -25% RORRisk Profile: 
SPX at 2881
VIX at 14.27We’re going to put on an income trade in 19OCT expiration cycle with 43 days to expiration.
This is a Broken Wing Put Butterfly.
We’re buying 2740put, selling (2) 2770 puts, buying 2780 put.
This is a high probability trade with max potential profit around 10% return on risk.
Order Ticket Type Asset Duration Strike C/P BTO SPX 19OCT 18 2780 Put STO X2 SPX 19OCT 18 2770 Put BTO SPX 19OCT 18 2740 Put Total Credit: 1.85
Risk Profile:
SPX at 2876.
With 14 days until expiration, we’re going to work towards unwinding this trade.
We’re closing 1/2 size of the Iron Condor, reducing risk on both, upside and downside:
Order Ticket Type Asset Duration Strike C/P Sell To Close SPX 21SEP 18 2960 Call Buy To Close SPX 21SEP 18 2950 Call Buy To Close SPX 21SEP 18 2820 Put Sell To Close SPX 21SEP 18 2810 Put Total Debit: 1.60 And we’re removing any hedges that were used to protect the upside risk:
Order Ticket Type Asset Duration Strike C/P Sell To Close SPX 28SEP 18 2990 Call Total Credit: 0.80 Risk Profile:
We’re going to scale out of Tier 1 butterfly here, leaving Tier 2 Open with 17 days to expiration.
Order Ticket Type Asset Duration Strike C/P STC RUT 28SEP 18 1690 Put BTC X2 RUT 28SEP 18 1650 Put STC RUT 28SEP 18 1600 Put Total Credit: 3.70
Risk Profile:
We’re going to put on an EIP trade in 31OCT expiration with about 50 days to expiration.
We’re using tiered entry for this strategy.Tier 1. 1650/1700/1730 Put butterfly
Tier 2. 1670/1720/1750 Put butterfly (RUT trading above 1730)
Tier 3. TBDWe’re going to manage downside risk WHEN/IF RUT trades down to 1670.
Risk Profile:
NOTE: This trade fully scaled will require about 5K of margin per 1 lot.
Planned capital: $10,000
Profit Target: 15% of PC
MAL: 20% of PC
Order Ticket Type Asset Duration Strike C/P BTO RUT 31OCT 18 1730 Put STO X2 RUT 31OCT 18 1700 Put BTO RUT 31OCT 18 1650 Put Total Debit: 0.40 HD had a nice breakout and now it is starting to get a little overbought.
Next earnings report is 13NOV. We’re looking for implied volatility to rise into the earnings announcement, so we want to be long premium in the cycle that covers the event.
We also want to sell premium to help cover the cost of the premium that we’re buying.
We’re looking at an At The Money Put Calendar, selling 19OCT and buying 16NOV put at 210 strike.
Order Ticket Type Asset Duration Strike C/P Sell To Open HD 19OCT 18 210 Put Buy To Open HD 16NOV 18 210 Put Total Debit: 2.00 Risk Profile:
Our profit target is around 20% return on risk.
We will add another round of Put Calendar at 205 or 215.
Our stop will be a loss of around 30%
We’re going to try to close this trade for a small credit.
It may be possible to get a fill to close for a credit, but at expiration, all options that are out of the money will be worth zero. (all puts that are part of this trade are currently out of the money)
Order Ticket Type Asset Duration Strike C/P STC RUT 28SEP 18 1700 Put BTC X2 RUT 28SEP 18 1680 Put STC RUT 28SEP 18 1630 Put Total Credit: 0.10 Risk Profile:
We’re looking to exit this trade at 50% of max profit.
Order Ticket Type Asset Duration Strike C/P STC SPX 19OCT 18 2780 Put BTC X2 SPX 19OCT 18 2770 Put STC SPX 19OCT 18 2740 Put Total Debit: 0.90 Risk Profile:
We’re going to BUY TO CLOSE 2710/2700 Bull Put spread.
This will leave 2980/2990 Bear Call spread open with an upside hedge in place.
Order Ticket Type Asset Duration Strike C/P Buy To Close SPX 19OCT 18 2710 Put Sell To Close SPX 19OCT 18 2700 Put Total Debit: 0.30
We’ll look to sell another put spread to bring in additional credit.
Order Ticket Type Asset Duration Strike C/P Sell To Open SPX 19OCT 18 2800 Put Buy To Open SPX 19OCT 18 2790 Put Total Credit: 0.90
Risk Profile:
This trade has 7 days left to expiration.
To avoid having a wild P/L swing, we’re going to buy to close remaining parts of this Iron Condor.
Order Ticket Type Asset Duration Strike C/P Sell To Close SPX 21SEP 18 2960 Call Buy To Close SPX 21SEP 18 2950 Call Buy To Close SPX 21SEP 18 2820 Put Sell To Close SPX 21SEP 18 2810 Put Total Debit: 0.50
