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XOP

XOP SHORT STRANGLE IDEAWith an implied volatility rank of 76 and an implied volatility of 56, an XOP short strangle is a good premium selling play here, with the standard 45 day setup yielding about 1.00 in credit for only $275 or so worth of buying power. Here's the setup: Feb 19th 23/32 short strangle Probability of Profit: 71% Max Profit: $97 Buying Power Effect: ~$275 Break Evens: 22.03/32.97 Naturally, things may change come Monday open, so be prepared to tweak your strikes and/or fill price ... .
AMEX:XOP
by NaughtyPines