re: Options Trading Thread

decided to roll the dice on the whole bank fiasco

bought a PACW 6/16 $27c

PACW has a good looking balance sheet so i figured theyll make it back into the $27 range sometime soon-ish...i hope

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Haven’t posted in a while, but 0DTE Iron Flies continue to absolutely crush it this year.

Today was a great day. Premium was incredibly high. I sold 2 and bought back for +$4.50 total.

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I agree. Over the past couple of days it’s been nice to finally have the VIX at a high enough level where we could make some good money vs. risk. My 3/17 short syn. strangles are close to max profit, same with the 3/17 SPVs from yesterday and the 0DTE SPVs I sold today died a quiet death.

But I haven’t forgotten that Mike Tyson style beatdown I took on that SPX rally a couple of weeks ago. So I’ll remain humble, yet thankful for days like we’ve had recently.

Nibbled today with about 2% of my account.
Made a quick 10.7% on a 4/6 BABA long call.
Made 11.7% on a QQQ 1 DTE put, following tasty trades findings that 25 deltas are best on these short expiry’s. These trades were on for just 5-15 minutes.

A couple of things I won’t do anymore:
1) No more trading 30-40% at one time (ideally no trades exceeding 5%).
2) No more 0 DTEs
Thankfully I have come out ahead doing both, but there’s no sense in it long term.

Perhaps you can tell where I began trading long calls/puts…

I’m hearing the same from both Option Alpha and Tasty.

Question for anyone with experience:
Is Barchart Premium worth the money?
What does it give access to?

Another solid day!

Sold a Synthetic strangle at open. Shorts were 200 pts wide!

Also sold a 30 DTE SPY and QQQ strangle into this nice Vol pop.

I foolishly did not play my 0DTE IF this morning. The strike would have been 3860-3865, and would've been a significant winner.

And today is an absolute mess

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And today is an absolute mess

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It darn near was!

I sold a fair number of 0DTE short call verticals on SPX during the noon hour. 3895 short strikes. Started well enough, then looked not so good, then good, then bad… then OK about 10 minutes before the bell at 3880 or so. Seemed like I was safe, or I would have closed. I had to go to a short meeting… and when I checked the closing number, it was at 3891.93 and got as high as 3894.26!!!

I swear I heard Tom Petty singing Don’t Come Around Here No More in my head. That was way too close for comfort!

For anyone:
What’s next to learn after CSPs and CCs?

Iron Condors are good. They are direction neutral (you're not betting on the stock to go up or down, you're betting on the size of the move being less than the option prices imply), and they are also risk capped, because you're basically just selling two spreads.

Diagonals can also be good. You sell a short dated call option pretty far out of the money, and buy a longer dated option less out of the money, or at the money. It's bullish, but hedges the cost of the long dated call a bit by selling the closer dated call.