NaughtyPines

NaughtyPines

... for an 80.54 debit. Comments: Adding to my position at a strike/break even better than what I currently have on. Going with the February 28th, since the March monthly remains someone long in duration. Metrics: Buying Power Effect/Break Even: 80.54/share Max Profit: 1.46 ROC at Max: 1.81% 50% Max: .73 ROC at 50% Max: .92% Will generally look to take...

NaughtyPines Updated 

... for a 47.52 debit. Comments: High IV/IVR. Back into IBIT on a little bit of weakness here, selling the -75 delta call against shares to emulate the delta metrics of a 25 delta short put, but with the built-in defense of the short call. The March monthly is still a bit long in duration for my tastes, so going with a weekly. Metrics: Buying Power...

NaughtyPines Updated 

... for an 18.17 debit. Comments: Back into EWY, after missing out on the dividend due to my shares being called away. Since there is no longer a dividend to be had, going with a Poor Man's Covered Call/long call diagonal, buying the longer-dated 90 delta strike and selling a shorter-dated call that pays for all of the extrinsic in the long, resulting in a...

NaughtyPines Updated 

... for a 79.98 debit. Comments: Adding a "rung" in March at a break even better than what I currently have on, selling the -75 delta call against shares to emulate the delta metrics of a 25 delta short put, but with the built-in defense of the short call. Metrics: Buying Power Effect/Break Even: 79.98/share Max Profit (Excluding Dividends): 1.02 ROC at Max...

NaughtyPines Updated 

.. for a 49.25 debit. Comments: With my usual leveraged go-to TQQQ in kind of the IV doldrums (IVR 18.1/IV 49.6), opting for a play in URTY with its 63.4% 30-Day IV instead. It's not as liquid and doesn't have nearly as robust an options chain as TQQQ, but I will make do. Metrics: Buying Power Effect/Break Even: 49.25/share Max Profit: 1.75 ROC at Max:...

NaughtyPines

The basic essence of reverse gamma scalping is to do additive and subtractive delta adjustments over time to keep delta fairly neutral so that theta can do its dirty work. Shown here is my full ARKK position that started as a delta neutral iron condor to which (a) I layered in an additional iron condor as a delta adjustment trade; (b) mixed and matched...

NaughtyPines

... for a 33.98 debit. Comments: High IVR/IV at 40.7/44.2, which is no surprise, since this is a bullish 3 x leveraged 20 year paper exchange-traded fund. It does have a dividend that pays out quarterly in March, June, September, and December (annualized yield of 4.71%). Selling the -75 delta call against shares to emulate the delta metrics of a 25 delta...

NaughtyPines

... for a .65 credit. Comments: An additive long delta adjustment here to cut net delta of my position in half ... . It still leans slightly net delta short with a delta/theta ratio of -10.04/6.26, so not quite where I want it at <1.00.

NaughtyPines Updated 

... for a 7.00 credit. Comments: IV remains high here at 112.4%. Going "double double" (put spread half the width of the call spread, but 2 x the number of contracts) to accommodate skew. Earnings are on 2/4, so will probably want to get out before then. Metrics: Max Profit: 7.00 Buying Power Effect: 23.00 ROC at Max: 30.43% 50% Max: 3.50 ROC at 50% Max:...

NaughtyPines Updated 

... for a 39.07 debit. Comments: Adding in at strikes better than what I currently have on, selling the -75 delta against shares to emulate the delta metrics of a 25 delta short put, but with built-in short call defense. I would prefer using TNA, since it's more liquid and has more expiries available, but already have a position on in TNA where the short call...

NaughtyPines Updated 

... for a 32.45 debit. Comments: Adding at strikes better than what I currently have on, selling the -75 delta call against shares to emulate the delta metrics of a 25 delta short put, but with the built-in defense of the short call. Metrics: Buying Power Effect/Break Even: 32.45/share Max Profit: 1.55 ROC at Max: 4.78% 50% Max: .78 ROC at 50% Max: 2.39% Will...

NaughtyPines Updated 

... for a 35.89 debit. Comments: Relatively decent IV here at 42.8%. Selling the -75 delta call against stock to emulate the delta metrics of a +25 delta short put, but with the built-in defense of the short call. Metrics: Buying Power Effect/Break Even: 35.89 Max Profit: 1.11 ROC at Max: 3.09% 50% Max: .56 ROC at 50% Max: 1.55% Will generally look to take...

NaughtyPines

... for a .51 credit. Comments: After closing my Feb 17th 23 for a small profit, opening up a position at a strike slightly lower than what I just had on, attempting to pick up shares at the lowest price the market will allow. Had to use the weeklies to get into the 22.5.

NaughtyPines Updated 

... for a .71 credit. Comments: Here, I'm just trying to reduce my cost basis in my shares of stock (which is kind of an "ugh" at 31.65), so looking to take assignment at $23/share. Because of this, I will look to run this all the way to expiry, at which point I either get assigned or it expires worthless. Metrics: Break Even/Buying Power Effect: 22.29 Max...

NaughtyPines Updated 

... for a 44.52 debit. Comments: Adding to my position at strikes/break evens better than what I currently have on, selling the -75 delta strike against shares to emulate the delta metrics of a 25 delta short put, but with the built-in defense of the short call. Metrics: Break Even/Buying Power Effect: 44.52/share Max Profit: 2.48 ROC at Max: 5.57% 50% Max:...

NaughtyPines

... for a 3.91 credit. Comments: Back into the semiconductor ETF, where I don't have a position on currently. Going comparatively low delta, with the short options camped out at the 17 delta on both sides and the wings about 1/10th the price of the underlying in width. Metrics: Max Profit: 3.91 Buying Power Effect: 21.09 ROC at Max: 18.54% 50% Max: 1.96 ROC at...

NaughtyPines

... for a 81.26 debit. Comments: Adding at strikes/break evens better than what I currently have on, selling the -75 delta call against stock to emulate the delta metrics of a 25 delta short put with the built-in defense of the short call. Metrics: Buying Power Effect/Break Even: 81.26/share Max Profit: 1.74 ROC at Max: 2.14% 50% Max: .87 ROC at 50% Max:...

NaughtyPines Updated 

... for a 34.33 debit. Comments: Starter position on weakness/high IV in lieu of the less liquid URTY. Selling the -75 delta call against shares to emulate the delta metrics of a 25 delta short put, but with the built-in defense of the short call. Metrics: Buying Power Effect/Break Even: 34.33/share Max Profit: 1.67 ROC at Max: 4.86% 50% Max: .84 ROC at 50%...