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$EEM naked PUT, high PoP #option #trade #Trades #OptionsTrading
iShares MSCI Emerging Index Fund
Long
$EEM naked PUT, high PoP #option #trade #Trades #OptionsTrading
By TanukiTrade
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Updated
Dec 23, 2021
2
Dec 3, 2021
The iShares MSCI Emerging Markets ETF is a good choice for today high IVR credit trade. High PoP, very predictable profit.
Reasons:
- high reward for Jan21 monthly expiry (mangeable with rolling) -> collecting credit
- breakeven point is far
- RSI is oversold.
Max profit: $92
Probability of 50%Profit: 84%
Profit Target relative to my Buying Power: 14%
Req. Buy Power: $633 (max loss without management before expiry, no way to let this happen!)
Tasty IVR: 104 (very high)
Expiry: 49 days
SETUP
: NAKED PUT for
EEM
, because IVR is high, for 0.92cr
* Sell 1
EEM
JAN21'46 PUT
Management
: ROLLING if daily candle is closing below of BE.
Take profit strategy
: 50% of max.profit in this case with auto buy order at 0.46db
Of course I'll not wait until expiry in any case!
If you liked this article, check my other ideas.
Anyway:
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Dec 23, 2021
Trade closed: target reached
Closed now, at 0.29db. $63 profit grabbed.
5% in 20 days relative to my buying power, no stress trade.
Beyond Technical Analysis
Technical Indicators
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TanukiTrade
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