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Creditspread

Chart of the Day: $HYG under pressure$85.50 is the key neckline support for $HYG as it bounces off the top boundary of wedge pattern. The neckline can be seen with multiple previous SSR levels. The downward bias is reinforced by the current SSR level for which price action is firmly pinned under. With an earnings recession in progress and oil demand in question, it is inevitable to see some stress emerging in the junk bond segment which has a fairly high representation of US shale players.
AMEX:HYGShort
by WellTrainedMonkey
NFLX Call Credit spread "Shorting"Shorting Netflix due to the uncertainty in the market due to SPY sell off. Netflix is overall a great company however it is very closely effected by the SPY much like last october a sell off lead Netflix down to the bottom and consequently is also uplifted the stock due to its latent rise. Of course earnings also were a catalyst. My Move is more near-term which makes it all that much risky. 345/350 Call Credit Spread Fill price $2.56 + commission Max loss 2.44 EXP May 31st Depending on SPY movements I may manage my position and take a gain for $1.25 if the position allows due to near-term risk. This is a journal entry and not trading advice.
NASDAQ:NFLXShort
by Synaptic724
2
VIX Double Vertical Spreads for a move higher in VolatilityAfter reaching a low of 11.10 today, the VIX closed at 11.57. Having been in a low Vol Environment for a while, I believe that this bounce off of the S2 Pivot Point intraday today, can be a potential low for the index. I have chosen a synthetic long position to play this out, over the next 60 days. More specifically, I sold the Nov 2018 14/12 put credit spread for $1 per contract and bought the same expiration 15/17 call debit spread for $0.50 per contract, in one order. This gives me a 2R (2 times the risk I assume in potential profit), since I can lose $0.50 for every $1 I can make, as my max profit. I will close my position when any one of the following conditions come true: 1)My position gets to $0.90 per contract 2)The VIX reaches 20 (as this is a Fib level that will act as a resistance point, or 3)The spread gets cut in half, or $0.25 per contract. Happy Trading Lindosskier
CBOE:VIXLong
by lindosskier
'Set It And Forget It' Trade In XLBXLB (Materials ETF) has been consolidating for weeks and looks like it's getting ready to make a move higher. With Squeezes on both the Weekly and Daily Chart this looks like a 'set it and forget it' type trade: In a perfect world, I'll be looking for a pullback tomorrow where I can pick up the 58/57 Put Credit Spread: Put Credit Spread Sell 58 Jan Monthly Put Buy 57 Jan Monthly Put At the current price, you can nearly get a 1x1 spread is what I like doing. In this case (once again at the current closing price) risking $51 to make $49/contract. This is a trade I want to be able to put on and not have to worry about too much. Ideally, the trade will be near max profit far before the contracts expire. If you'd prefer to play an underlying, you can also trade DWDP which makes up 22% of the ETF. It too has a Weekly Squeeze setting up and its chart looks nearly identical to XLB: Playing the ETF is just an easy way to play to movement of the entire sector which as a whole looks bullish. With the ETF you're less susceptible to things like news based moves that can affect an individual stock without affecting the entire sector.
AMEX:XLBLong
by TheCryptosaurusRex
Chevron, CVX, Bull Put, Credit SpreadI am not licensed or certified by any individual or institution to give financial advice. I am not a professional Stock trader. Chevron (CVX) gapped down today, big time; but it couldn't break the 100 Day Exponential Moving Average (EMA). If you look back to October 27, 2017 (see the purple arrow I inserted on the lower left of the chart to mark the date) Chevron did the exact same thing. It proceeded to go back up. I think it will repeat itself in the coming days. It used the 100 Day to bounce and will go back up. I typed up the strategy I used for this play and you should be able to see it on the chart. The 200 Day EMA is sitting just above $118.40ish giving this play more than $4.00 of cushion. Additionally, next week is a short trading week in the United States due to markets being closed on Monday in observation of Memorial Day. That means this Stock has four days to not go down more than four dollars, and the Credit from opening the play is kept. Yes, you could tighten the spread; but having the 200 Day EMA adds a little protection, and I'm still learning how to do Spreads. :)
NYSE:CVX
by AROD01
2
Cautiously Bullish on SHOP by selling Put Credit SpreadsSell the Feb 16 SHOP 100/95 Put Credit Spread for $0.65 or better, for a 13% (not counting commissions) return within 35 days. Stop loss should be if the spread increases to $1.30. SHOP has held the 61.8% retracement of the Sep 17 high to Oct 17 low and is clearing the way for higher moves. Playing it with selling a put credit spread and receiving $65 for every $5 wide contract sold, for a potential 13% Return on Risk over 35 days. Happy Trading Lindosskier
NYSE:SHOPLong
by lindosskier