Trades of the Day 01/15/2021

Twitter

Previously sold a TWTR $46 Put, $70 Call – 02/19/2021 Strangle for $312 on 12/18/2021. This has gone very poorly since with TWTR stock moving around $55 to around $45.

Initial management plan is out of the window now and it’s all about just surviving to buy it back for break even.

I have moved the call from the $70 to $55 strike and collected additional $88 in credit making the total credit collected to $400.

Breakeven for this trade if the options expired today would be $42 on the put side and $59 on the call side.

Another note – with the introduction of the beginner portfolio page, I will probably stop trades of the day post and put more energy into the beginner portfolio and topics for newbies.

Trades of the day 12/29/2020

Rolling the Dice with DKNG

Old: 1 AAPL $112.50 Put, $145 Call – 01/15/2021 Strangle sold on December 18th 2020 didn’t work out as hoped. Closed it for $145. Not a win, not a loss. Closing and moving on.

New: Sold 1 DKNG $42 Put 01/22/2021 for $105. Collateral is around $520 including credit.

  • Management Plan – Close out for 50% profit.

Trades of the Day 12/18/2020

Twitter
  1. Sold 1 TWTR $46 Put, $70 Call  – 02/19/2021 Strangle for $312. Collateral for the trade is $877 including the credit collected.
  • Management plan – To close out at 50% if it reaches that before Twitter earnings on 02/09/2021. If it doesn’t reach 50% before earnings, then take it off before earnings to avoid earnings announcement.
  1. Sold 1 AAPL $112.50 Put, $145 Call – 01/15/2021 Strangle for $145. Collateral $1430 including credit. 
  • Management plan – close out next week hopefully for a small profit.
  1. Sold 1 EWZ $33 Put, $43 Call – 02/19/2021 Strangle for $130. Collateral $509.
  • Management plan – to close out for 50% profit. Don’t have to worry about earnings since it’s an ETF.

Trade of the Day 12/14/2020

Sold 1 SPCE Put at strike price $21 with expiration on 01/15/2021.

Premium received $95. Virgin Galactic dropped about 17% after an aborted test flight on Friday. Trying to take advantage of the drop today. 

Management Plan: Hoping for a quick bounce and buying it back for around $45.