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re: Options Trading Thread

Posted on 8/23/23 at 9:18 am to
Posted by Jjdoc
Cali
Member since Mar 2016
53502 posts
Posted on 8/23/23 at 9:18 am to
Any of you familiar with Foot Locker?

They reported and hit a 52 week low. I am considering June 2025 calls.

Posted by LSUtoOmaha
Nashville
Member since Apr 2004
26585 posts
Posted on 8/23/23 at 9:51 am to
Revenue seems pretty consistent over the last few years in the 8-9 billion annual range and they have made between 300-900 million in income. I haven't done research but I'm assuming the outlook is bleak due to rising input costs and theft. Theft is what killed me on the DKS play, I think.

From a pure historical valuation Foot Locker is really cheap. Thus, the forward outlook is probably bad. That may be priced in though.
Posted by LSUtoOmaha
Nashville
Member since Apr 2004
26585 posts
Posted on 8/23/23 at 10:29 am to
I sold SNOW puts just now ahead of their earnings.
Posted by LSUTIGERS74
Houston
Member since Oct 2007
245 posts
Posted on 8/23/23 at 10:57 am to
quote:

I sold SNOW puts just now ahead of their earnings.



did the same, took 140/136 svp @.81, move is is expected +/-17.07
Posted by Random MsState Fan
Member since Jun 2018
1657 posts
Posted on 8/23/23 at 11:55 am to
Can you be assigned on naked calls even if you don't have margin enabled?
If you open a position as sell to close, are you at risk here?
Posted by Jag_Warrior
Virginia
Member since May 2015
4126 posts
Posted on 8/23/23 at 4:11 pm to
quote:

Can you be assigned on naked calls even if you don't have margin enabled?

If you open a position as sell to close, are you at risk here?


I’m a little confused. You’re talking about being short naked calls, but the transaction would not be in a margin account? I’m not aware that this would even be possible, not at any brokerage firm that I’m aware of. The risk on that trade is infinite, so a margin account and level 3 (or whatever the highest level is called at your brokerage) would be necessary.

And when you say “open a position as sell to close”… I don’t know what you mean. Sorry.
Posted by Jag_Warrior
Virginia
Member since May 2015
4126 posts
Posted on 8/23/23 at 4:43 pm to
quote:

I will look at ASDK and DLTR as LSU_Omaha recommended earlier in the week and hopefully find a decent entry before earnings call this afternoon and tomorrow morning.

Also looking at SNOW with IV and % in decent range.


I went with ADSK too. I’ve played it several times in the past with good success. I think I got assigned once, but sold the position for a profit above the strike a few days later. Nice IV and IV percentile.
I went with 8/25 expiration 7 delta/182.5 strike short puts.

Did you get anything entered on DLTR or SNOW?
Posted by LSUTIGERS74
Houston
Member since Oct 2007
245 posts
Posted on 8/23/23 at 5:49 pm to
Yes had to actually go check my ASDK order went thru, it went in just before close on 182.5/177.5 SVP

DLTR 126/121 SVP

SNOW 140/136 SVP

Also had to roll call spread on SPX I had at 4435 today but got decent higher fill but not extremely confident
Posted by LSUtoOmaha
Nashville
Member since Apr 2004
26585 posts
Posted on 8/23/23 at 8:04 pm to
I actually like where your short put strikes are. I think I've been a little too conservative
Posted by LSUtoOmaha
Nashville
Member since Apr 2004
26585 posts
Posted on 8/23/23 at 8:10 pm to
Do any of you subscribe to a service where they tell you the historical moves of stocks after earnings compared to the implied move? I haven't found a good free one that will just tell me the numbers.
Posted by LSUTIGERS74
Houston
Member since Oct 2007
245 posts
Posted on 8/23/23 at 8:34 pm to
quote:

I actually like where your short put strikes are


I have been playing a few strikes out of the probability and have had to make wider spreads on the lower deltas to make credits worth it after commissions and fees
Posted by LSUTIGERS74
Houston
Member since Oct 2007
245 posts
Posted on 8/23/23 at 8:37 pm to
quote:

Do any of you subscribe to a service


Not yet, my only research is thru google where I can search for past earnings performance but also not sure how relevant they are to me as the economic environment has been so volatile for last few years
Posted by LSUtoOmaha
Nashville
Member since Apr 2004
26585 posts
Posted on 8/24/23 at 9:29 am to
DLTR going to be very close for both of us.

You're at 126 I'm at 127.
Posted by LSUTIGERS74
Houston
Member since Oct 2007
245 posts
Posted on 8/24/23 at 9:46 am to
Yep it needs to put the brakes on this morning.
Posted by Shankopotomus
Social Distanced
Member since Feb 2009
21057 posts
Posted on 8/24/23 at 12:03 pm to
Slammed some IWM puts this morning … waiting for another good entry
Posted by LSUTIGERS74
Houston
Member since Oct 2007
245 posts
Posted on 8/24/23 at 2:05 pm to
Took a couple of SVP in both WDAY and MRVL heading into earnings this afternoon
Posted by Jag_Warrior
Virginia
Member since May 2015
4126 posts
Posted on 8/24/23 at 4:17 pm to
quote:

Also had to roll call spread on SPX I had at 4435 today but got decent higher fill but not extremely confident


If you did a 1 day roll, I’m guessing you had a (big) smile on your face at 4:01PM today.
Posted by LSUTIGERS74
Houston
Member since Oct 2007
245 posts
Posted on 8/24/23 at 4:58 pm to
quote:

face at 4:01PM today.
Posted by LSUTIGERS74
Houston
Member since Oct 2007
245 posts
Posted on 8/24/23 at 5:00 pm to
It was a 2 day roll and was able to close it in the green. Unfortunately made my first real mistake and didnt get a roll in on time for NDX at the last moment when it tanked below my put strike so looking like I am taking a full loss on that, luckily had some decent wins on others to help offset the loss a bit
Posted by LSUtoOmaha
Nashville
Member since Apr 2004
26585 posts
Posted on 8/24/23 at 6:42 pm to
I'm mad at myself for missing WDAY
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