At this time I don't want to own any stock, so no naked PUT for me. Most of my trade are 5 points spread for protection:
I have the following open:
(BTO = Buy to Open / STO = Sell to Open)
EXC: BTO JAN182019 $32CALL & STO JUL212017 $38 at $4.65 (Net Debit)
UAL: BTO APR212017 $77.50CALL & STO $72.50 for $.95 (Net Credit) and I also use the credit to buy $70 Put and currently on negative for PUT. Get more credit for Apr 28 instead of Apr 21 like me.
ZBRA: BTO 1 APR212017 $90CALL/STO 2 APR212017 $95CALL for $.85 (Net Debit)
BTO (on 11/09/2016) MAY192017 $90CALL at $1.29 (Potential $20 to $30 point move during May base on the historical)
BTO APR212017 $85PUT/STO APR212017 $90 for $.53 net credit (If you don't mind 9% return for the next 9 days then consider $.40 net credit or more).
*For some reason I noticed ZBRA is up during NOV to MAY and down during JUN to OCT, so I sell PUT buy CALL (with net credit) and will sell CALL and buy PUT around June with OCT expiration.
Today SLV: STO JUL212017 $16.50PUT at $.49 / BTO SEP292017 $16PUT at $.54 for $.05 net debit
The last time insider trading in NOV 2016 purchased $15M and stock went up 11%.
Same person (insider trading) in March 2017 purchased addition $11.3M between $23.38 -
$23.40 (current trading at $23.45 went up $0.07 today). If you want to own then wait until it down a little.
I have 5 contracts open since 01/25/2017 for SEP 2017 $22.50 @ $1.30 (free and clear after several credit since JAN) and ...thinking to add some more either SEP or DEC 2017.
To reduce my cost (expect at least $1) I will sell PUT credit spread $22.50/$20 along with sell CALL JUN $25 strike.
You should start options less money expose which translate to minimize your risk with huge potential profit. At least options allow you to trade up, down or even side way, but buying stock is only one way to profit. I try my best to stay within $500 range per trade unless I lock in all the profit then I may take additional risk. The way I see for insider trading is that they know their company better than us and if he or she is willing to buy several million (more than $20M on this case) then I'll take a ride along with couple hundred or thousand. If I see anything abnormal then I take my profit and run to the next one, but so far so good for the last five months.
For AMH buy and hold since NOV 2016 gain about 11%, but options let me lock in several hundred % already and the sky is still clear for me at this time.
By the way I'm thinking buy Calendar Spread PUT on SPY $225 Sell MAY/Buy JUN for protection around $.63 to $.64 just in case S&P 500 drop 5% by May (option expire worthless) to 10% by June then it will be perfect (about 1,700%). It is due to drop any time with my guts feeling, so I'll minimize my expose for the upside.
Pending AllocationsUnder development. For now, you may view Pending Allocations by going to "fantasy TSP" and selecting "Leaderboard sort" of "Pending Allocations".
What else"Don't ever half-ass two things. Whole-ass one thing."
- Ron Swanson