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Optionsstrategies

Opening (IRA): SMH February 21st 195/220/270/295 Iron Condor... 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 50% Max: 9.27% Will generally look to take profit at 50% max, roll untested side in toward current price on side test.
NASDAQ:SMH
by NaughtyPines
Opening (IRA): EWW March 21st 46 Covered Call... for a 45.00 debit. Comments: Taking a small (ish) directional shot in the Mexico exchange-traded fund, 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: 45.00/share Max Profit: 1.00 ROC at Max: 2.22% 50% Max: .50 ROC at 50% Max: 1.11% Will generally look to take profit at 50% max, add at intervals, and/or roll out the short call if my take profit isn't hit.
AMEX:EWWLong
by NaughtyPines
Opening (IRA): TQQQ March 21st 72 Covered Call... for a 68.95 debit. Comments: Starter position on weakness. 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: 68.95 Max Profit: 3.05 ROC at Max: 4.42% 50% Max: 1.53 ROC at 50% Max: 2.21% Will generally look to take profit at 50% max, add at intervals, assuming I can get in at strikes/break evens that what I have on at the time, and/or roll out short call if my take profit is not hit.
NASDAQ:TQQQLong
by NaughtyPines
Opening (IRA): FCX July 18th 25/March 21st 39 Long Call Diagonal... for an 11.02 debit. Comments: Taking a directional shot post-earnings on weakness, buying the back month 90 delta call and selling the front month 30 delta that pays for all of the extrinsic in the long, resulting in a break even that is slightly below where the underlying is currently trading. Metrics: Buying Power Effect: 11.02 Break Even: 36.02/share Max Profit: 2.98 ROC at Max: 27.04% With these, I generally look to take profit at 110% of what I put them on for and/or look to roll out the short call to reduce my cost basis/downside break even should that not be hit.
NYSE:FCXLong
by NaughtyPines
Opening (IRA): TNA March 21st 39 Covered Call... for a 37.05 debit. Comments: Adding to my TNA position at a slightly better break even 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: 37.05/share Max Profit: 1.95 ROC at Max: 5.26% 50% Max: .98 ROC at 50% Max: 2.63% Will generally look to take profit at 50% max, add at intervals, assuming I can get in at strikes better than what I currently have on, and/or roll out the short call if my take profit is not hit.
AMEX:TNALong
by NaughtyPines
Opening (IRA): XBI March 21st 86 Covered Call... for an 84.20 debit. Comments: Adding to my position 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: 84.20 Max Profit: 1.80 ROC at Max: 2.14% 50% Max: .90 ROC at 50% Max: 1.07% Will generally look to take profit at 50% max, add at intervals, assuming I can get in at strikes better than what I currently have on, and/or roll out the short call if my take profit isn't hit.
AMEX:XBILong
by NaughtyPines
Opening (IRA): TMF March 21st 36 Covered Call... for a 34.85 debit. Comments: Starter position. 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: 34.85 Max Profit: 1.15 ROC at Max: 3.30% 50% Max: .58 ROC at 50% Max: 1.65% Will generally look to take profit at 50% max, add at intervals, assuming I can get in at strikes/break evens better than what I currently have on, and/or roll out the short call if my take profit is not hit.
AMEX:TMFLong
by NaughtyPines
Opening (IRA): IBIT March 21st 48 Covered Call... for a 46.14 debit. Comments: Adding to my current position at strikes better than what I have on, selling the -75 delta call against shares to emulate the delta metrics of a 25 delta short put, but with built-in short call defense. Metrics: Buying Power Effect/Break Even: 46.14 Max Profit: 1.86 ROC at Max: 4.03% 50% Max: .93 ROC at 50% Max: 2.02% Will generally look to take profit at 50% max, add at intervals assuming I can get in at strikes better than what I currently have on, and/or roll out short call if my TP is not hit.
NASDAQ:IBITLong
by NaughtyPines
Opening (IRA): INDA March 21st -52C/June 20th 2 x 45C/-50C... covered zebra for a 9.93 debit. Comments: I fiddled mightily with bullish assumption setups in this underlying and settled on this setup -- a covered zebra (zero extrinsic ratio back spread). It consists of two parts: (1) a longer-dated zebra where I bought 2 x the 75 delta strike call and sold the -50 delta call to synthesize a 100 delta setup; (2) against which I sold a shorter-dated -30 delta call. This emulates the delta metrics of a covered call, but with a smaller buying power effect than either a covered call or a long call diagonal. Metrics: Buying Power Effect: 9.93 debit Break Even: 49.96/share Max Profit: 2.04 While you can manage the separate, bullish assumption spreads of the setup, I'll look to money/take/run at 110% of what I put it on for and/or look to roll out the short call to reduce my break even further should my take profit not hit.
CBOE:INDALong
by NaughtyPines
Opening (IRA): TQQQ March 21st 68 Covered Call... for a 64.63 debit. Comments: Starter position on weakness, selling the -75 delta call against shares to emulate the delta metrics of a 25 delta short put, but with built-in short call defense. Metrics: Buying Power Effect/Break Even: 64.63 Max Profit: 3.37 ROC at Max: 5.21% 50% Max: 1.69 ROC at 50% Max: 2.61% Will generally look to take profit at 50% max, add at intervals assuming I can get in at strikes better than what I currently have on, and/or roll out short call if my TP is not hit.
NASDAQ:TQQQLong
by NaughtyPines
Opening (IRA): SOXL March 21st 20 Covered Call... for an 18.21 debit. Comments: Adding to my current position at strikes better than what I have on, selling the -75 delta call against shares to emulate the delta metrics of a 25 delta short put, but with built-in short call defense. Metrics: Buying Power Effect/Break Even: 18.21 Max Profit: 1.79 ROC at Max: 9.83% 50% Max: .90 ROC at 50% Max: 4.91% Will generally look to take profit at 50% max, add at intervals assuming I can get in at strikes better than what I currently have on, and/or roll out short call if my TP is not hit.
AMEX:SOXLLong
by NaughtyPines
Opening (IRA): SOXL March 21st 23 Covered Call... for a 20.87 debit. Comments: High IVR/IV. Adding to my position at a break even better than what I currently have on. Selling the -75 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: 20.87 Max Profit: 2.13 ROC at Max: 10.21% 50% Max: 1.07 ROC at 50% Max: 5.11% Will generally look to take profit at 50% max, add at intervals (assuming I can get in at a break even better than what I currently have on), and/or roll out the short call in the event take profit is not hit.
AMEX:SOXLLong
by NaughtyPines
Opening (IRA): TQQQ March 21st 71 Covered Call... for a 67.75 debit. Comments: Starter position, 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: 67.75/share Max Profit: 3.25 ROC at Max: 4.80% 50% Max: 1.63 ROC at 50% Max: 2.40% Will generally look to take profit at 50% max, add at intervals (assuming I can get in at break evens/strikes better than what I currently have on), and/or roll out short call if my take profit is not hit.
NASDAQ:TQQQLong
by NaughtyPines
Opening (IRA): UPS June 20th 90C/March 21st -115C... for a 19.60 debit. Comments: Buying the back month 90 delta call and selling a front month that pays for at least all of the extrinsic in the long such that the break even is at or below where the stock is currently trading. Metrics: Buying Power Effect: 19.60 Break Even: 109.60/share Max Profit: 5.40 ROC at Max: 27.6% I generally look to take profit on these at 110% of what I put them on for and/or roll out the short call if my take profit isn't hit.
NYSE:UPSLong
by NaughtyPines
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Opening (IRA): TAN February 21st 32 Covered Call... for a 31.17 debit. Comments: Still in the top 5 underlyings for IV on my ETF board, with 30-day at 35.0%. Adding at strikes better than what I currently have on after exiting the 33's at 50% max. 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: 31.17/share Max Profit: .83 ROC at Max: 2.66% 50% Max: .42 ROC at 50% Max: 1.33% Will generally look to take profit at 50% max.
AMEX:TANLong
by NaughtyPines
Opening (IRA): TNA March 21st 38 Covered Call... for a 36.24 debit. Comments: Adding in 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: 36.24/share Max Profit: 1.76 ROC at Max: 4.86% 50% Max: .88 ROC at 50% Max: 2.43% Will generally look to take profit at 50% max, add at intervals (assuming I can get in at break evens/strikes better than what I currently have on), and/or roll out short call should my take profit not hit.
AMEX:TNALong
by NaughtyPines