Options trade: TLT ratio put spread (semi-neutral trade)

Oct 23, 2018

buy +1 Nov 30, 2018  $114 put option
sell -2 Nov 30, 2018  $113.50 put options

net credit:  $1.05 x 1 x 100 =  $105
maximum potential profit:  $155


Nov 27, 2018

close the trade

PROFIT:  $106

WATCH ALL 4 VIDEOS HERE!

Options trade: SPX short call options (bearish trade)

Monday, 11/26/2018 (Expiration Monday)

Trade 1 (9:11:23 am, PT)

sell (to open) -1 Nov 26, 2018  2670 call option at $3.40  ←  38.67 delta (a bit high)


Trade 2 (9:25:18 am, PT)

buy back short call option at $1.50 

Note:  I decided to close it at around 50% of max profit

PROFIT:   $190 (in 14 minutes)


COMMENTS:

It was very tempting to leave this trade open (until expiration) to get the remaining $150, but it's only 9:25 am and a lot can happen in the next 3.5 hours.

I got 55% of max profit in only 14 minutes, so I'm happy about that.  "Don't get greedy," right?  😉

Learn to SELL OPTIONS HERE.

Options trade: SPX credit call spread (bearish trade)

Monday, 11/12/2018 (Expiration Monday)

12:22:03 pm, PT

buy +1 Nov 12, 2018  2770 call at $0.05 ← "wing"
sell -1 Nov 12, 2018  2750 call at $1.30 ←  22 delta

margin:  $2,000
net credit:  $1.25 x 1 x 100 = $125 (max profit)



1:00 pm, PT

SPX closed at 2726.22
all call options expired "worthless"

PROFIT:  $125 (in 38 minutes)

Learn to SELL call options HERE!

Options trade: SPX short call options (bearish trade)

Thu. 10/25/2018

Trade 1 (9:38:02 am, PT)  ← SPX around 2698

sell short -6 Oct 26, 2018  2715 calls at $11.30 (very nice premium!)

delta:  35.80


Trade 2 (1:01:11 pm, PT)

buy back calls at $10.40 (for a quick profit)

PROFIT:  $540


Comments:

• SPX continued to rise after I sold (to open) my short call options (bad!)

• At 11:49 am (2 hours later), SPX hit a high of 2722.33 and my calls were trading at $20.20 (I had a temporary "paper loss" of $5340!)  😖😨

• At 1:01 pm, PT, I decided to buy back my calls at $10.40 and take a quick profit because I wasn't sure if Amazon's earnings and Alphabet's (Google) earnings were going to be good or bad

• Amazon's earnings and Google's earnings turned out to be bad, so SPX dropped in the after-hours market 

• By 1:15 pm, PT, my call options were trading between $5.40 and $6.50 😩

• The greedy side of my brain wants to say, "I wish I had held my calls longer!"

• The conservative side of my brain says, "It's a good thing I took my profits because things could have gone the other way."

What would YOU have done in this situation??

Learn to SELL CALL OPTIONS HERE!

Options trade: SPX credit put spread (bullish trade)

Monday 10/8/2018 (Expiration Monday)

Trade 1 (10:21:22 am, PT)  ←  SPX around 2865

sell -6 Oct 8, 2018  2845 puts at $1.00
buy +6 Oct 8, 2018  2815 puts at $0.10

• net credit:  $0.90 x 6 x 100 =  $540 (max profit)
• margin:  $18,000

Trade 2 (10:44:15 am, PT)

buy back all 6 short puts (2845) at $0.20 to take profits and remove the risk

PROFIT:  $420 (in 23 minutes!)

WATCH FREE OPTIONS VIDEOS HERE!

Options trade: SPX credit call spread (bearish trade)

Friday 10/5/2018 (Expiration Friday)

Trade 1 (9:53:29 am, PT)

buy +6 Oct 5, 2018  2905 calls at $0.10  ←  cheap wing
sell -6 Oct 5, 2018  2890 calls at $1.40 ←  18 delta

net credit:  $1.30 x 6 x 100 =  $780 (max profit)


Trade 2 (12:57:13 pm, PT)

buy back all 6 short calls (2890) at $0.10 to remove the risk

PROFIT:  $720 (in 3 hours)

WATCH THE VIDEO HERE!

SPX credit call spread (options)

Monday, 10/1/2018 (Expiration Monday)

Trade 1 (10:16:44 am, PT)  ←  SPX between 2928.40 & 2929.20

buy +6 Oct 1, 2018  2950 calls at $0.05  ←  cheap wings
sell -6 Oct 1, 2018  2930 calls at $1.55  

net credit:  $1.50 x 6 x 100 =  $900 (max profit)
buying power reduction:  ($12,000)


Trade 2 (12:26:25 pm, PT)

buy back short calls (2930) at $0.10 to take profits and remove the risk

PROFIT:  $840 (2 hours, 10 minutes)

Learn to SELL credit call spreads here!

SPX credit call spread (options)

Friday, 9/28/2018 (Expiration Friday)

Trade 1 (10:05:47 am, PT)  ←  SPX @ 2914.54

buy +6 Sept 28, 2018  2945 calls at $0.05 ← cheap wings
sell -6 Sept 28, 2018  2920 calls at $1.80  ←  29.70 delta

• net credit:  $1.75 x 6 x 100 =  $1050 (max profit)
• buying power reduction:  ($15,000)

Trade 2 (12:52:01 pm, PT)

buy back all 6 short calls (2920) at $0.05 to take profits and remove the risk

PROFIT:  $1020 (3 hours)

Note: SPX closed at 2913.98

Learn to SELL call spreads here!

SPX credit put spread (options)

Friday, 9/28/2018 (Expiration Friday)

Trade 1 (9:00:05 am, PT)  ←  SPX @ 2916.63

sell -4 Sept 28, 2018  2895 puts at $0.70  ←  9 delta (safe)
buy +4 Sept 28, 2018  2850 puts at $0.05 ←  cheap wings

net credit:  ($0.65) (4) (100)  =  $260 (max profit)
buying power reduction:  (2895 − 2850) (4) (100) = ($18,000)


Trade 2 (12:41:34 pm, PT)

buy back all 4 short puts (2895) at $0.05 to take profits and remove the risk

PROFIT:  $240 (3 hours, 41 minutes)

Note:  SPX closed at 2913.98

Learn to SELL put spreads here!

SPX options: $1122 profit in 3.5 hours

Monday 9/24/2018 (Expiration Monday)

Trade 1 (9:27:08 am, PT)  ←  SPX @ 2915.81

buy +6 Sept 24, 2018  2935 calls at $0.05 (cheap wings)

sell -6 Sept 24, 2018  2920 calls at $1.25 ← 21 delta

• net credit:  $1.20 x 6 x 100 =  $720 (max profit)
• buying power reduction:  $9,000

Trade 2 (12:24:11 pm, PT)  ←  SPX @ 2920

sell -6 Sept 24, 2018  2920 puts at $1.35  ←  50 delta
buy +6 Sept 24, 2018  2910 puts at $0.05 (cheap wings)

• net credit:  $1.30 x 6 x 100 =  $780 (max profit)
• buying power reduction:  none

After I added the vertical put spread, I ended up with the following position:
a "short straddle with wings"

long +6 Sept 24, 2018  2935 calls at $0.05
short -6 Sept 24, 2018  2920 calls at $1.25
short -6 Sept 24, 2018  2920 puts at $1.35
long +6 Sept 24, 2018  2910 puts at $0.05


At the Closing Bell .....

SPX closed at 2919.37 ("settlement value")

My entire vertical call spread was fine, but my short puts ended up in-the-money. 😶

CLICK HERE to find out what happened!

PROFIT:  $1122 (in 3.5 hours)

IWM put options

Wednesday, 9/19/2018 (12:06:49 pm, PT)

sell -5 Oct 19, 2018  $165 puts at $1.16

Why did I place this trade?

• it's a "down" day
• stochastics in oversold region
• 29 days 'til expiration
• 26 delta

Thursday, 9/20/2018 (11:10:31 am, PT)

buy back all 5 puts at $0.71 

Why did I place this trade?

• take profits (37% of max profit in ONE day)
• remove the risk (of assignment)
• free up the capital

PROFIT:  $225 (in ONE day)


Comments:

Don't be afraid to sell put options on a "down" day (especially if the stochastics are in the oversold region).

Buy back your short puts quickly when there's a big "up" day.

FREE LESSONS HERE!  LEARN TO SELL PUT OPTIONS!

SPX credit put spread (options)

Monday, 9/17/2018 (Expiration Day)

Trade 1 (11:45:23 am, PT)

sell -4 Sept 17, 2018  2890 puts at $0.40
buy +4 Sept 17, 2018  2875 puts at $0.05 (cheap wing)


Why did I place this trade?

It was late in the day and SPX appeared to stabilize around 2895.


Comments:

At 12:54 pm (PT), SPX was trading around 2886, so my short put (2890) was in-the-money (ITM) with only 4 minutes remaining.  It was time to ROLL my short puts to the next cycle (9/19/2018 expiration).  

Simply buying back the short puts without rolling or allowing them to expire ITM would have resulted in a loss of over $1000.


Trade 2 (12:54:55 pm, PT) ← ROLL

buy to close +4 Sept 17, 2018  2890 puts at $3.46
sell to open -4 Sept 19, 2018  2885 puts at $9.21

The roll gave me a new credit of $5.75

Then I had to buy (to open) 4 new wings with a Sept 19, 2018 expiration:
+4  Sept 19, 2018  2800 puts at $0.95 (debit)


Tuesday, 9/18/2018 (7:43:24 am, PT)

my preset buy-to-close order filled at $2.00

I'm going to leave open the 4 long puts ("wings") so I can use them again on 9/19/2018 (for my next vertical put spread).  Most likely they will expire worthless on 9/19/2018.


PROFIT:   $1260 (one day)

Learn to SELL PUT OPTIONS HERE!

QQQ put options

Wed. 9/12/2018 (11:00:26 am, PT) (QQQ at $182)

sell -4 Oct 19, 2018  $177 puts at $2.07

Why did I place this trade?

• stochastics in oversold region
• down day
• attractive premiums
• delta 31.54

Thu. 9/13/2018 (11:06:29 am, PT) (QQQ up $2.00)

buy back all 4 puts at $1.37

Why did I close this trade?

• I made 33.16% of max profit in one day (ahead of schedule)
• take quick profits
• remove the risk
• free up the capital

PROFIT:  $280 (in ONE day)

Learn to SELL put options here!

SPX credit put spread (options day-trade)

Wed. 9/12/2018 (EXPIRATION DAY)

Trade 1 (10:18:05 am, PT)

sell −4 Sept 12, 2018  2880 puts at $0.80 ← 19.40 Delta
buy +4 Sept 12, 2018  2855 puts at $0.05 ← cheap "wing"

• SPX was trading near 2886 when I placed this trade
• buying power reduction:  ($10,000)

Trade 2 (12:27 pm, PT)

buy back all 4 short puts (2880) at $0.05 to remove the risk
let the long "wings" (2855) expire worthless

PROFIT:  $280

CLICK HERE TO WATCH THE VIDEO

SPX credit put spread (options)

Wednesday, 8/29/2018 (Expiration Wednesday)

Trade 1 (10:20:01 am, PT) ← SPX trading around 2913

sell -4 August 29, 2018  2910 puts at $1.00  ←  delta 27.30
buy +4 August 29, 2018  2895 puts at $0.05 (cheap wings)


Trade 2 (12:45:13 pm, PT)

buy back short puts (2910) at $0.05 (to remove the risk)
let long puts (2895) expire worthless

PROFIT:  $380 (in 2.5 hours)

Learn to SELL put options here!  FREE lessons!

SPX credit put spread (options)

Monday, 8/27/2018 (Expiration Day)

Trade 1 (10:33:36 am, PT)

sell -4 August 27, 2018  2890 puts at $0.70
buy +4 August 27, 2018  2870 puts at $0.05 (cheap "wing")

Stats:

• short put delta = 19.60
• SPX trading at 2895.53
• net credit (max profit) = $0.65 x 4 x 100 =  $260

Trade 2 (12:42:58 pm, PT)

buy back all short puts (2890) at $0.05

PROFIT:  $240 (in approx. 2 hours)

Note:  SPX closed at 2896.74 at 1 pm, PT

Learn to SELL PUT OPTIONS!

FREE lessons HERE!

SPX credit put spread (options)

Friday, 8/24/2018 (Expiration Friday)

Trade 1 (8:29:32 am, PT) ← SPX trading around 2872

sell -4 August 24, 2018  2865 puts at $1.05 (delta 21.75)
buy +4 August 24, 2018  2835 puts at $0.05 (cheap wings)


Trade 2 (9:04:16 am, PT)

buy back short puts (2865) at $0.50 (to take profits)


Trade 3 (9:33:09 am, PT) ← SPX trading around 2874.50)

sell again -4 August 24, 2018  2865 puts at $0.55 (delta 12.58)


Trade 4 (12:23:18 pm, PT)

buy back short puts (2865) at $0.05 (to remove the risk)

PROFIT:  $400 (in 3.5 hours)

Note:  SPX closed at 2874.69 at 1:00 pm, PT

LEARN TO SELL PUT OPTIONS HERE!

SPX credit put spread (options)

Monday, 8/20/2018 (Expiration Day)

Trade 1 (10:14:53 am, PT)

sell -4 August 20, 2018  2850 puts at $0.65
buy +4 August 20, 2018  2825 puts at $0.05

Stats:

• delta for short put (2850):  15
• net credit (max profit):  $0.60 x 4 x 100 =  $240
• SPX trading at 2857

Trade 2 (12:31:12 pm, PT)

buy back short puts (2850) at $0.05

PROFIT:  $220 (in 2.25 hours)

Learn to SELL put options!

FREE lessons here!

SPX credit put spread (options)

Wednesday, 8/15/2018 (Expiration Wednesday)

Trade 1 (9:57:12 am, PT)  ←  SPX trading around 2815

sell -4 August 15, 2018  2795 puts at $0.80  (delta 10)
buy +4 August 15, 2018  2750 puts at $0.05 (cheap wings)

max profit:  $0.75 x 4 x 100 =  $300


Trade 2 (12:30:15 pm, PT)

buy back short puts (2795) at $0.05 (to remove the risk)
let long puts (2750) expire worthless

PROFIT:  $280 (in 2.5 hours)


Note:  SPX closed at 2818.37 at 1:00 pm, PT

Learn to SELL puts here!  FREE lessons!

SPX credit call spread (options)

Wednesday, 8/15/2018 (Expiration Wednesday)

Trade 1 (10:46:21 am, PT) ← SPX trading around 2814

buy +4 August 15, 2018  2840 calls at $0.05 (cheap wings)
sell -4 August 15, 2018  2820 calls at $1.70 (delta 28)


Trade 2 (11:45:59 am, PT)

buy back short calls (2820) at $0.30 (to take profits)


Trade 3 (11:57:24 am, PT) ← SPX trading around 2810

sell again -4 August 15, 2018  2820 calls at $0.45 (delta 12)


Trade 4 (12:58:01 pm, PT)

buy back short calls (2820) at $0.40 (to remove the risk .... things got too crazy 😖😖)
let long calls (2840) expire worthless

PROFIT:  $560 (in 2 hours)

Note:  SPX closed at 2818.37 at 1:00 pm, PT

Learn to SELL calls here!  FREE lessons!