Trade 1
Tuesday 3/5/2019 (12:13:54 pm, PT)
sell short -1 March 8, 2019 $1660 put at $2.61
Facts:
- 3 days 'til expiration
- 14 delta
Trade 2
Thursday, 3/7/2019 (12:56:53 pm, PT) [AMZN dropped $45, so I rolled down & out to April 12]
buy (to close) 1 March 8, 2019 $1660 put at $36.49
sell (to open) 1 April 12, 2019 $1590 put at $38.41
net credit: $1.92
Trade 3
Wednesday, 3/20/2019 (9:13:26 am, PT)
buy back April 12 $1590 put at $3.25
PROFIT: $128
I decided to close my trade before the FOMC announcement at 11 am (PT).
Thursday, 2/28/2019 (11:19:31 am, PT)
sell short -1 March 8, 2019 $1705 call at $2.74
Facts:
- 8 days 'til expiration
- "overbought" stochastics
- 10 delta
Friday, 3/8/2019 (8:19:34 am, PT) (Expiration Friday)
buy back March 8 $1705 call option at $0.01 (to remove the risk and take profits)
PROFIT: $273 (in one week)
Monday, 3/4/2019 (11:05:10 am, PT)
sell short -1 March 8, 2019 $1632.50 put at $2.47
Facts:
- 4 days 'til expiration
- 10.52 delta
Tuesday, 3/5/2019 (11:58:12 am, PT)
buy back put option at $0.80 (take profits)
PROFIT: $167 (in one day)
Thursday, 2/28/2019 (11:19:31 am, PT)
sell short -1 March 8, 2019 $1565 put at $2.63
Facts:
- 8 days 'til expiration (DTE)
- 10 delta
Friday, 3/1/2019 (12:54 pm, PT)
buy back put option at $0.95
Amazon rose $33, so it's time to close my trade and take profits.
PROFIT: $168 (in one day)
Tuesday 1/22/2019 (Expiration Day)
WATCH THE VIDEO HERE!
Trade 1 (10:25:33 am, PT)
buy +2 Jan 22, 2019 2665 calls at $0.05 (cheap wings)
sell -2 Jan 22, 2019 2635 calls at $2.00 (29 delta)
margin: (2665 － 2635) x 2 x 100 = $6000
credit (max potential profit): ($2.00 － $0.05) x 2 x 100 = $390
Trade 2 (11:54:09 am, PT)
buy back both short calls (2635) at $0.30
let the long calls (2665) expire worthless
PROFIT: $330 (in 90 minutes)
WATCH THE VIDEO HERE!
Friday 1/18/2019 (Expiration Friday)
WATCH THE VIDEO HERE!
Trade 1 (10:48 am, PT)
buy +2 January 18, 2019 2705 calls at $0.05 (cheap "wings")
sell -2 January 18, 2019 2675 calls at $1.80 (27 delta)
Trade 2 (11:38 am, PT)
buy back the 2 short calls (2675) at $0.60 (take profits and remove the risk)
PROFIT #1: $230 (in 45 minutes)
Trade 3 (11:55 am, PT)
sell -2 January 18, 2019 2675 calls at $0.80 (17.46 delta)
Comment: I'm selling (to open) two new calls (same strike) so I don't "waste" my two long calls ("wings") (there's still 1 hour left in the trading session)
Trade 4 (12:49 pm, PT)
buy back the 2 short calls (2675) at $0.10
Comment: The market makers were "torturing" me by making me wait until 12:49 pm. They refused to sell me the 2675 calls for $0.10 even though they were pretty far out-of-the-money
PROFIT #2: $140 (in 55 minutes)
TOTAL PROFIT: $370
Comments:
- at 12:52 pm, SPX was at 2663.37 and then staged a sharp reversal (back up)
- at 1:00 pm, SPX closed at 2670.71
- I'm VERY glad I bought back my short calls at $0.10 because that late-afternoon reversal would have completely stressed me out
WATCH THE VIDEO HERE!
Wednesday 1/16/2019 (Expiration Wednesday)
Trade 1 (9:52 am, PT)
sell -1 January 16, 2019 2630 call at $1.00 (16 delta)
Trade 2 (9:58 am, PT)
sell -1 January 16, 2019 2630 call at $1.05 (18 delta)
Trade 3
buy +2 January 16, 2019 2655 calls at $0.10 ("wings")
Trade 4 (12:46 pm, PT)
buy back both short calls (2630 strike) at $0.05 (to take profits & remove the risk)
PROFIT: $175
Monday, 1/14/2019 (Expiration Monday)
Trade 1 (10:15 am, PT)
buy +2 January 14, 2019 2625 calls at $0.05 ("wings")
sell -2 January 14, 2019 2595 calls at $1.15 (21.86 delta)
Trade 2 (11:46 am, PT)
buy back both short calls (2595 strike) at $0.30 (take profits & remove the risk)
let long calls expire "worthless"
PROFIT: $160 (in 90 minutes)
SPX closed at 2582.61
WATCH THE VIDEO HERE!
Wednesday, 1/9/2019 (Expiration Day)
WATCH THE VIDEO HERE!
Trade 1 (11:08:46 am, PT)
sell -2 Jan 9, 2019 2610 calls at $1.25 (14.62 delta)
buy +2 Jan 9, 2019 2640 calls at $0.05 ("wings")
Comments
- The Federal Reserve released its minutes at 11 am, PT
- Margin requirements: (2640 − 2610) x 2 x 100 = $6000
Trade 2 (11:30:07 am, PT)
buy back both short calls (2610 strike) at $0.20 (to remove the risk and take profits)
PROFIT #1 (short calls only): $210
Trade 3 (11:48:57 am, PT)
sell -2 new calls (2600 strike) at $1.25 (19.18 delta)
Trade 4 (12:30:18 pm, PT)
buy back second set of short calls (2600 strike) at $0.30 (to remove the risk and take profits)
PROFIT #2 (short calls only): $190
TOTAL PROFIT: $210 + $190 − $10 (cost of the two long calls) = $390 (in about 90 minutes)
Comments
- I waited until after the Fed's minutes to place my first trade (I don't like uncertainty)
- After I bought back my first set of short calls, I was able to sell another set of calls for an additional credit
- SPX closed at 2584.96, so my short calls would have been fine in the end. However, I don't like to take unnecessary risk, so I always buy back my short options before expiration if possible
WATCH THE VIDEO HERE!
Friday, 1/4/2019 (Expiration Friday)
Trade 1 (11:25:40 am, PT)
sell (to open) -1 Jan 4, 2019 2545 call option at $1.65 (delta 19.25)
Comment: The markets gapped up right at the opening bell and continued to rise. It had been a pretty strong "up" day, so I kept my trade small by selling only one contract. Selling call options is a semi-bearish strategy.
Trade 2 (12:51:07 pm, PT)
buy back call option at $0.05 (to remove the risk and take profits)
Comment: SPX closed at 2531.94 at 4 pm, ET (up 84.05).
PROFIT: $160 (in 90 minutes)
LEARN TO SELL CALL OPTIONS HERE!
Wednesday, 1/2/2019 (Expiration Wednesday)
Trade 1 (10:01:05 am, PT)
sell (to open) -2 January 2, 2019 2530 calls at $1.40 (15 delta)
Max potential profit: $280
Trade 2 (11:59:10 am, PT)
buy (to close) both calls at $0.20 (to remove the risk and take profits)
Note: SPX closed at 2510.03 at 4 pm, ET
PROFIT: $240 (in 2 hours)
Learn to SELL CALL OPTIONS here!
Friday 12/21/2018 (Expiration Friday)
Trade 1A (9:42:23 am, PT)
sell (to open) -2 Dec 21, 2018 2490 call options at $2.35 (14 delta)
Trade 1B (10:53:08 am, PT)
buy (to close) both of the 2490 call options at $0.90
PROFIT: $290
Trade 2A (11:40:11 am, PT)
sell (to open) -2 Dec 21, 2018 2460 call options at $1.85 (17 delta)
(notice that the strike price is 30 points lower than in Trade 1)
Trade 2B (12:12:22 pm, PT)
buy (to close) both of the 2460 call options at $0.65
PROFIT: $240
Trade 3 (12:34:12, pm, PT)
sell (to open) -2 Dec 21, 2018 2435 call options at $2.60 (22 delta)
(notice that the strike price is 25 points lower than in Trade 2)
Note:
I had submitted a limit order to buy back both of the 2435 calls at $0.05, but my order never filled even though my short calls were out-of-the money by $18. I had never experienced such a thing before. The "ask" remained at $0.55 all the way until the Closing Bell. Those market makers missed out on taking my $10 because they got greedy!!
SPX closed at 2416.62 (down 50.80).
TOTAL PROFIT (3 separate trades): $1050 (in 4 hours)
LEARN TO SELL CALL OPTIONS HERE!
Monday 12/17/2018 (Expiration Monday)
Trade 1 (9:04:09 am, PT)
sell (to open) -1 Dec 17, 2018 2620 call option at $1.45 (15 delta)
Trade 2 (9:25:29 am, PT)
buy (to close) +1 above call option at $0.45
PROFIT: $100 (in 21 minutes)
Trade 3 (10:30:59 am, PT)
sell (to open) -1 Dec 17, 2018 2590 call option at $2.25 (18 delta)
Trade 4 (11:52:46 am, PT)
buy (to close) +1 above call option at $0.20
PROFIT: $205 (in 1 hour, 22 minutes)
Trade 5 (12:36:43 pm, PT)
sell (to open) -1 Dec 17, 2018 2545 call option at $1.95 (30 delta)
Trade 6 (12:49:05 pm, PT)
buy (to close) +1 above call option at $0.40
PROFIT: $155 (in 13 minutes)
TOTAL PROFIT (selling call options 3 times): $460
COMMENTS:
- As SPX started dropping, I would buy back my short calls and sell (to open) new ones that were closer "to the money"
- Notice that my "deltas" started rising with each subsequent trade (once SPX started dropping, I felt pretty confident that the downward trend would continue at least until 12:50 pm or so)
- Quite often, after a whole day of selling, the buyers come back in towards the end of the day and push the SPX back up (at 12:49 pm, PT, SPX hit an intraday low of 2530.54 and then reversed back up to close at 2545.94)
- It's a GOOD thing I bought back my short call (2545 strike) at 12:49 pm because it would have ended up "in-the-money" at the close!
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!
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.
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!
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!
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!
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!
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!
