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SPX at 2600
VIX at 22.50
We’re going to put on an income trade in 08FEB expiration cycle with 53 days to expiration.
This is a Broken Wing Put Butterfly.
We’re buying 2350 put, selling (2) 2400 puts, buying 2425 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 08FEB 19 2425 Put STO X2 SPX 08FEB 19 2400 Put BTO SPX 08FEB 19 2350 Put Total Credit: 2.30 Risk Profile: 
I’m going to make adjustments if SPX trades below 2425
We’re going to roll down 2430/2420 Put spread to 2370/2360.
This roll is a NET debit and to help cover the cost of this adjustment we’re going to look to sell a call spread on any bounce.
Order Ticket Type Asset Duration Strike C/P Buy To Close SPX 31JAN 19 2430 PUT Sell To Close SPX 31JAN 19 2420 PUT Sell To Open SPX 31JAN 19 2370 PUT Buy To Open SPX 31JAN 19 2360 PUT Total Debit: 1.00 We’re going to convert 2370/2360 Bull Put spread into a 2370 Put Calendar.
We’re Selling To Close 2360 Put in 31JAN expiration and Buying To Open 2370 Put in 08FEB expiration cycle.
This will create a 31JAN/08FEB 2370 Put Calendar. This adjustment will cut NET delta to nearly flat and boost theta in a big way (from -14 to +153)Order Ticket Type Asset Duration Strike C/P Sell To Close SPX 31JAN 19 2360 Put Buy To Open SPX 08FEB 19 2370 Put Total Debit: 10.00 Risk Profile:
SPX at 2380
VIX at 34.30
We’re going to put on an income trade in 08FEB expiration cycle with 44 days to expiration.
This is a Broken Wing Put Butterfly.
We’re buying 2100 put, selling (2) 2150 puts, buying 2175 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 08FEB 19 2175 Put STO X2 SPX 08FEB 19 2150 Put BTO SPX 08FEB 19 2100 Put Total Credit: 2.50 Risk Profile: 
We’re going to close out this trade for a loss and look to set up Put credit spreads with OTM options.
Order Ticket Type Asset Duration Strike C/P Buy To Close XLV 28DEC 18 95 Put Sell To Close XLV 18JAN 19 95 Put Total Debit: 0.01 SPX has rallied from 2355 to 2500 since the last adjustment.
We want to maintain NET delta fairly neutral. We’re going to Sell To Close 1/2 of our 2370 Put Calendars:Order Ticket Type Asset Duration Strike C/P Buy To Close SPX 31JAN 19 2370 Put Sell To Close SPX 08FEB 19 2370 Put Total Credit: 6.20 And we’re going to BUY TO OPEN 1/2 size of 31JAN/08FEB 2550 Call Calendar:
Order Ticket Type Asset Duration Strike C/P Sell To Open SPX 31JAN 19 2550 Call Buy To Open SPX 08FEB 19 2550 Call Total Debit: 6.30 Risk Profile:
We’re going to close out this trade with 37 days to go.
Order Ticket Type Asset Duration Strike C/P STC SPX 08FEB 19 2175 Put BTC X2 SPX 08FEB 19 2150 Put STC SPX 08FEB 19 2100 Put Total Debit: 0.50
Risk Profile:
SPX at 2500
VIX at 22.83We’re looking to put on a broken wing put butterfly that is neutral to slightly bullish.
The set up is a 50 by 40 all puts and the short strike is about 40 points below the current price. That means we’re selling 2460 put, and buying 2410 put and 2500 put.
This trade starts out with about $1500 of margin or buying power reduction, but we want to set aside around $5000 for each butterfly.
We’re going to target around 20% ROR and we’ll make adjustments below 2420 or above 2550.
Order Ticket Type Asset Duration Strike C/P BTO SPX 22FEB 19 2500 Put STO X2 SPX 22FEB 19 2460 Put BTO SPX 22FEB 19 2410 Put Total Debit: 0.10 Risk Profile: 
RUT is trading around 1400.
We’re looking to put on a bullish trade as RUT may be running to test previous support area around 1450 that could now act as resistance.
We’re buying a Call Butterfly, centered around the strike where we thing RUT is moving towards. We’re also buying wings, 50 points apart to keep this trade risk defined.
Order Ticket Type Asset Duration Strike C/P BTO RUT 01FEB 19 1500 Call STO X2 RUT 01FEB 19 1450 Call BTO RUT 01FEB 19 1400 Call Total Debit: 11.60 Risk Profile: 
Our Profit Target is around 25% ROR, while keeping size small as the market is still very volatile.
We’re going to close this trade at 75% of Max Profit
Order Ticket Type Asset Duration Strike C/P STC SPX 18JAN 19 2450 PUT BTC X2 SPX 18JAN 19 2425 PUT STC SPX 18JAN 19 2375 PUT Total Debit: 0.60 Risk Profile:
We’re going to roll up 2370 Put Calendar up 60 points.
Sell To Close 31JAN/08FEB 2370 Put calendar:
Order Ticket Type Asset Duration Strike C/P Buy To Close SPX 31JAN 19 2370 Put Sell To Close SPX 08FEB 19 2370 Put Total Credit: 4.40 Buy To Open 31JAN/08FEB2430 Put calendar:
Order Ticket Type Asset Duration Strike C/P Sell To Open SPX 31JAN 19 2430 Put Buy To Open SPX 08FEB 19 2430 Put Total Debit: 6.10 Risk Profile:
Note: We’re continuing to minitor this trade and we will make further adjustment if needed.We’re looking for AMZN Out Of the Money Broken Wing Call Butterfly.
AMZN earnings are in 25 days, so this trade has to be done before earnings, otherwise, volatility will not come out and options will hold on to most of the premium.
The idea is to do a 30 point Call Debit spread and a 50 point Call Credit spread.
The difference between the two spreads is 20 points or $2,000 – that’s margin requirement per 1 fly.
This trade is done for a NET credit because a 50 point Call Credit spread has enough credit to cover the cost of a 30 point Call Debit spread.
We are aiming to collect credit that will yield about 10% ROR.
Now, if Risk or Margin or Buying Power Reduction is $2,000 then we are looking to collect around 180-200 or 1.80 – 2.00 per fly.
Order Ticket Type Asset Duration Strike C/P BTO AMZN 01FEB 19 1850 CALL STO X2 AMZN 01FEB 19 1800 CALL BTO AMZN 01FEB 19 1770 CALL Total Credit: 1.80 Risk Profile: 
We’re going to start to scale out at 15% ROR
Order Ticket Type Asset Duration Strike C/P STC RUT 01FEB 19 1500 CALL BTC X2 RUT 01FEB 19 1450 CALL STC RUT 01FEB 19 1400 CALL Total Credit: 13.40
Risk Profile:
With 30 days to expiration, we’ll try to bring in a bit more credit by selling an OTM Call spread.
We’re looking to collect around 2.00 credit for a 25 point wide Bear Call spread.
Order Ticket Type Asset Duration Strike C/P Buy To Open SPX 08FEB 19 2750 Call Sell To Open SPX 08FEB 19 2725 Call Total Credit: 2.00 Risk Profile:
We’re going to roll up 2430 Put Calendar up 50 points.
Sell To Close 31JAN/08FEB 2430 Put calendar:
Order Ticket Type Asset Duration Strike C/P Buy To Close SPX 31JAN 19 2430 Put Sell To Close SPX 08FEB 19 2430 Put Total Credit: 5.20 Buy To Open 31JAN/08FEB 2480 Put calendar:
Order Ticket Type Asset Duration Strike C/P Sell To Open SPX 31JAN 19 2480 Put Buy To Open SPX 08FEB 19 2480 Put Total Debit: 6.70 Risk Profile: 
Note: We’re continuing to monitor this trade and we will make any further adjustment if needed.
