Follow me on Twitter!

Friday, November 25, 2022

Options trading : US Oil Fund ETF (USO) semi-bullish trade

  GET WEEKLY TRADE IDEAS HERE.

FREE OPTIONS TRADING LESSONS HERE.


11/21/2022

sell (to open) -1 Nov 25, 2022 $65 put at $0.26 (credit)

  • 4 DTE
  • probability ITM (assignment): 14%


11/25/2022 (expiration)

USO closed at $66.96

my short put expired perfectly

PROFIT:  $26

GET FREE TRADE IDEAS AND TRADE ALERTS BY JOINING PATREON!

Options trading : US Oil Fund ETF (USO) semi-bullish trade

 GET WEEKLY TRADE IDEAS HERE.

FREE OPTIONS TRADING LESSONS HERE.


11/16/2022

sell -1 Nov 25, 2022 $66 put at $0.23 (credit)

  • probability ITM (assignment):  11%
  • USO = $72.04
  • 9 DTE
  • max profit:  $23


11/25/2022 (expiration)

buy back short put at $0.01 (debit)

PROFIT:  $22


COMMENTS:

I decided to buy back my put because USO dipped down to $66.80 at one point.

At 10 am (PT) (expiration), USO closed at $66.96, so my short put would have been fine.


To get free trade ideas and trade alerts, join PATREON today.


Tuesday, November 22, 2022

Options trading : SPX semi-bearish trade

   GET WEEKLY TRADE IDEAS HERE.

FREE OPTIONS TRADING LESSONS HERE.



11/3/2022 (12:57:37 pm, PT)

buy +1 Nov 4, 2022 3925 call at $0.07 (debit)
sell -1 Nov 4, 2022 3835 call at $1.27 (credit)  🠈🠈  probability ITM 4.45%
  • net credit:  $1.20
  • SPX = 3718
  • 1 DTE


11/4/2022 (8:34:48 am, PT)  🠈🠈 expiration

buy back short call (3835 strike) at $0.05 to remove the risk

PROFIT:  $115 (in 1 day)


NOTE:
  • at 7:41 am (PT), SPX hit a high of 3796.34 (not good)
  • at the close, SPX settled at 3770.55 (+50.66 points)


Options trading : Amazon (AMZN) semi-bullish trade

   GET WEEKLY TRADE IDEAS HERE.

FREE OPTIONS TRADING LESSONS HERE.



11/1/2022

sell -1 Nov 18, 2022 $83 put at $0.48
  • 16 DTE
  • oversold
  • probability ITM (assignment):  11%
  • AMZN =  $96.60



11/18/2022 (expiration)

AMZN closed at $94.14

My short put expired perfectly

PROFIT:  $48


Options trading : US Oil Fund ETF (USO) semi-bullish trade

   GET WEEKLY TRADE IDEAS HERE.

FREE OPTIONS TRADING LESSONS HERE.



10/28/2022

sell -1 Nov 4, 2022 $68 put at $0.23
  • probability ITM (assignment):  12%
  • 7 DTE



11/4/2022 (expiration)

USO closed at $76.82 (+ 3.53)

My short put expired "worthless"

PROFIT:  $23



Options trading : US Oil Fund ETF (USO) semi-bullish trade

   GET WEEKLY TRADE IDEAS HERE.

FREE OPTIONS TRADING LESSONS HERE.



11/15/2022

sell -1 Nov 18, 2022 $69 put @ $0.17
  • probability ITM (assignment): 11% (low)
  • USO:  $73.26
  • 3 DTE


11/18/2022 (expiration)

USO closed at $69.03!  (just 3 cents above my strike price!!)

My short put expired "worthless"

PROFIT:  $17

NOTE:  It was totally crazy at the end.  The "bid" was $0.03 and the "ask" was $0.09 with just seconds remaining until the closing bell.  My buy-to-close limit order of $0.01 never filled!  Because USO kept hovering around my strike price of $69, I was willing to take the assignment.  That's the reason I refused to spend $9 to buy back my short put option.



Options trading : Alphabet (GOOGL) semi-bullish trade

   GET WEEKLY TRADE IDEAS HERE.

FREE OPTIONS TRADING LESSONS HERE.


10/31/2022

sell -1 Nov 4, 2022 $89 put at $0.22 (credit)
  • probability ITM (assignment): 11%
  • GOOGL:  $94.55
  • 4 DTE



11/4/2022 (expiration)  🠈🠈  ROLL

buy (to close) 1 Nov 4 $89 put at $3.64
sell (to open) -1 Nov 18 $89 put at $4.69

net credit:  $1.05

Total credits received so far:  $1.27

NOTE:  I rolled my Nov 4 $89 put because I changed my mind regarding assignment.  I just wanted to give my trade two more weeks of time and collect another credit.


11/10/2022 (6:30 am, PT)  🠈🠈  8 DTE

buy back Nov 18 $89 put at $0.84 (debit)

NET PROFIT:  $40.35

NOTE:  I decided to buy back the Nov 18 put because I wanted to close the trade before expiration and walk away with a small profit.  The Universe gave me a second chance (i.e., GOOGL rose) so I took it.




Options trading : ARK Innovation ETF (ARKK) semi-bearish trade

   GET WEEKLY TRADE IDEAS HERE.

FREE OPTIONS TRADING LESSONS HERE.


11/17/2022

sell -3 Nov 25, 2022 $41 calls at $0.14

  • 8 DTE
  • probability of success: 90%
  • ARKK = $37.24


11/22/2022

buy back all 3 short calls at $0.01 to remove the risk of assignment

PROFIT:  $39 (in 5 days)


GET FREE TRADE IDEAS HERE!

Thursday, November 3, 2022

Options trading : SPX credit call spread (bearish)

   GET WEEKLY TRADE IDEAS HERE.

FREE OPTIONS TRADING LESSONS HERE.



11/2/2022 (12:58:13 pm, PT)

buy +1 Nov 3, 2022 4020 call at $0.07 (debit)
sell -1 Nov 3, 2022 3870 call at $1.12 (credit)  🠈🠈 prob ITM 4.30%
  • net credit:  $1.05 ($105 per spread)
  • SPX = 3764.58 (- 91.52)  🠈🠈 Wall Street reacted negatively after FOMC
  • 1 DTE


11/3/2022 (6:30:16 am, PT)  🠈🠈  expiration

buy back the 3870 short call at $0.05 (debit)

PROFIT: $100 (in one day)




Wednesday, November 2, 2022

Options trading : Kimberly Clark (KMB) semi-bullish trade

  GET WEEKLY TRADE IDEAS HERE.

FREE OPTIONS TRADING LESSONS HERE.



8/29/2022

sell -1 Oct 21, 2022 $120 put at $1.30 (credit)



10/21/2022 (exp)  🠈🠈  ROLL 
Why Roll?
  • KMB dropped to $113.96 (my put was ITM)
  • my friend did not want to get assigned
  • my friend wanted to collect another credit

Here's the roll:
buy (to close) the Oct 21, 2022 $120 put at $6.35 (debit)
sell (to open) a Nov 18, 2022 $120 put at $7.15 (credit)

Roll for a net credit of $0.80

Credits collected so far:  $1.30 + $0.80 =  $2.10


Translation:
If I buy back the Nov 18 put at $2.10, I will break even.
If I buy back the Nov 18 put for less than $2.10, I will have a profit.



10/31/2022 (12:26 pm, PT) 🠈🠈  18 DTE

buy back the Nov 18 $120 put at $0.80 (debit) and take profits


Reasons for closing the trade:
  • KMB was "overbought" again
  • I was able to buy back the short put for less than $2.10
  • take profits