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Monday, March 30, 2015

Lockheed Martin (LMT) April Put Options

3/12/2015 (9:52:39 am, PT)

sell (to open) 2 April 2015  $190 puts at $1.76

Why did I place this trade?
  • stochastics in oversold region
  • high implied volatility
  • 74% probability of success

3/30/2015 (6:39:48 am, PT)

buy (to close) both puts at $0.30

Why did I close this trade?
  • TAKE PROFITS!

NET PROFIT:  $285.89  (in 13 trading days)

Success!


SELL PUT OPTIONS and GET PAID immediately.
Learn on your own for FREE (watch my videos) or
Pay for 1-on-1 training (details here).

Friday, March 27, 2015

Gold ETF (GLD) Put Options

2/17/2015 (10:03:07 am, PT)

sold (to open) 2 March 13 2015  $114 puts at $1.35 (credit)


Reasons for placing this trade:
  • 63% probability of success
  • oversold region of stochastics (see chart)
  • I selected a "weekly" option so it could expire (hopefully) before the FOMC meeting on 3/18/2015


3/10/2015 (9:40:47 am, PT)

GLD was trading around $111, so my puts were in-the-money. (see chart)
With only 4 days left until expiration, I decided to ROLL my puts to April 2015 to avoid assignment.

Here's the roll:
  • buy (to close) 2 March 13 2015  $114 puts at $2.75
  • sell (to open) 2 April 2015 $114 puts at $3.97
net credit:  $1.22

If I had simply closed my ITM short puts on 3/10, it would have cost me $2.75.
Since my initial credit was $1.35, buying (to close) at $2.75 would have resulted in a loss of $280.
I don't like to lose money, so I ROLLED my puts to April and received another credit of $1.22.


3/27/2015 (11:29:57 am, PT)

buy (to close) both puts at $1.03 (debit)

GLD was back up to $115, so my April puts were finally out-of-the-money again.
I decided to buy (to close) my puts and TAKE MY PROFITS in case GLD dropped again.

On 3/27, GLD was in the overbought region of the stochastics and reversing back down from the 50 EMA (see chart).

TOTAL NET PROFIT:  $295.77


Success!




SELL PUT OPTIONS and GET PAID up front!
Learn on your own for FREE (watch my videos) or
Pay for 1-on-1 training (details here).

Thursday, March 26, 2015

SPY Put Options

3/24/2015 (9:10:20 am, PT)

buy (to open) 2 May 2015  $207 puts at $2.87 (debit)

Reason for placing this trade:  overbought region of stochastics


3/26/2015 (9:42:05 am, PT)

sell (to close) both puts at $5.08 (credit)

Reason for closing this trade:  TAKE PROFITS

NET PROFIT:  $431.88 (in TWO days)

Success!



Learn to trade PUT OPTIONS.
Learn on your own for FREE by watching my YouTube videos or
Pay for 1-on-1 training (details here).

Friday, March 20, 2015

Spiders (SPY) Ratio Put Spread

2/18/2015 (11:28:03 am, PT)  

+2 March 2015  $209 puts at $3.33
-4 March 2015  $206 puts at $2.34

Reasons for placing this trade:
  • SPY was in the "overbought" region of the stochastics, so I was semi-bearish
  • the $206 puts had a 63% probability of expiring OTM
  • I received an initial credit of $1.35 ($270)

Here's the lesson:
  • As long as SPY continues to rise and closes above $209 on 3/20 (expiration), I get to keep $270.
  • If SPY drops anytime between 2/18 and 3/20, I have the opportunity to sell (to close) my two long puts ($209 strike), take my profits, leave the four short puts "naked" and hope that SPY closes above $206 on 3/20 (exp).

What actually happened:
  • On 3/10/2015, my preset "sell-to-close" order for my two long puts ($209 strike) filled at $3.75.  It was sort of unfortunate because SPY continued to drop.
  • On 3/11, the $209 puts hit a high of $5.72, but I missed out because I had already sold my $209 puts.
  • On 3/20/2015 (expiration), my preset "buy-to-close" order for my four short puts ($206 strike) filled at $0.01.  Hurray!
  • SPY closed at $210.41 on 3/20 (exp), so it's a GOOD thing I had sold (to close) my two long puts on 3/10 and captured an extra $726.

TOTAL NET PROFIT:  $995.66

Success!



 SELL put options and GET PAID immediately!
Learn on your own for FREE at my YouTube Channel or
Pay for 1-on-1 training (details here).


Spiders (SPY) FOMC Trade

3/18/2015 (10:36:21 am, PT)

Note:  FOMC announcement at 11 am (PT)

-10 April 2015  $191 puts at $0.54

Probability of success:  90%
Maint. req:  $23848


3/20/2015 (9:39:42 am, PT)

buy to close all 10 puts at $0.17

NET PROFIT:  $354.50 in TWO DAYS!

Success!


SELL put options and GET PAID immediately!
Learn on your own for FREE at my YouTube Channel or
Pay for 1-on-1 training (details here).


Spiders (SPY) April Put Options

3/19/2015 (10:19:32 am, PT)

Note:  FOMC on 3/18 and Wall Street reacted positively

-10 April 2015  $198 puts at $0.74

probability of success:  86%
maint. req:  $31058 


3/20/2015 (9:39:18 am, PT)

buy to close all 10 puts at $0.38

NET PROFIT:  $344.50 in ONE DAY!


Success!



SELL PUT OPTIONS and GET PAID IMMEDIATELY.
Learn on your own for FREE at my YouTube Channel or
Pay for 1-on-1 training (details here).

Wednesday, March 18, 2015

SPY FOMC Trade

2/25/2015 (9:28:45 am, PT)  (top of stoch)

sold (to open) 10 April 2015  $198 puts at $1.07

probability of success:  84%
maint. req:  $29,558


3/18/2015 (12:16:34 pm, PT)  (1.25 hours after FOMC announcement)
SPY shot up $3.00 right after the FOMC!

buy (to close) all 10 puts at $0.52

NET PROFIT:  $534.50

Success!



SELL PUT OPTIONS and GET PAID IMMEDIATELY!
Learn on your own for FREE by watching my YouTube videos here or
Pay for customized, 1-on-1 training (click HERE for details).