Option picks - place some of your option here

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Winner
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Re: Option picks - place some of your option here

Post by Winner »

Skie,

For SINA you may want to sell $50 CALL expire tomorrow to get at least $.12 credit to bring your cost down (or consider as extra income similar as GM that I mentioned prior pages).

*****************
Today: EFA (I fund) bullish: Put vertical spread sell MAR2013 $60 and buy APR2013 $58 for $.08 credit.
“A brave man knows the circumstances and consequences of what he may encounter ahead…..but moves forward anyway.”


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Winner
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Re: Option picks - place some of your option here

Post by Winner »

Skie,

I haven't took any credit on GM as it continue up so I'm waiting until close to April expiration to get the maximum time value. At this time, my calendar spread is ahead almost $2K (18%).

Check your PM related to my new strategy work really well.
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Winner
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Re: Option picks - place some of your option here

Post by Winner »

GM closed $27 strike expire last Friday as a lost $1.35 or $4,050 after sold $29 strike expire this week, but my JAN2015 $27 strike with positive over $6 so I'm still ahead by over $2K.

NFLX - yesterday sold $200P/bought $195 for credit $380 expire this week.
- today sold APR26 $220 /bought $215 for $.10 credit current average is $.20 (negative)
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Winner
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Re: Option picks - place some of your option here

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Winner wrote:
Winner wrote:
Winner wrote:GM 30 contracts
Total cost: $7,315 (Average $2.4383) Total credit: $1551.79 + $297.73 = $1,849.52 (Sell $28 Strike and buy $28.5 for credit $.11) or 1849.52/7315 = 25.28%


1st trade on 2/6 with 10 contracts...
Add 5 contracts on 2/7
Add 15 contracts on 2/11
30 contracts for a total cost of $7,315: GM $30 CALL JAN2014

2/15 Collect additional $297.73 for a total credit of $2,147.25 or 29.35% on 2nd weeks (for 9 trading days). So far so good for "Income Strategy"


I changed it close to the money by converted my BUY to $27 strike JAN2015 instead of $30 JAN2014 for additional cost $6.3K ($2.1 market price) or by adding $2.1 more for $.90 less ($30 - $27 = $3 on strike - $2.10 additional cost = $.9 save from the strike) with additional year to collect.

So my cost is $14,400 for 30 contracts at $27 JAN2015
SELL $26 Feb22 for $2,122.5
A total of credit so far is $3,972.02 ($2,122.05 + $1,849.52) or 27.58% of the total cost.

Almost three months to use this to collect income is not working so well since I keep increase the sell strike price and not keep track, but on the other hand my JAN2015 $27 strike just $100 away from $10K unrealized gain this morning (+83% from original price if minus the sell price I been collect then it will be more 100%). So I still consider 83% profit for three months since I haven't keep track all the sell credit. I'm thinking close this and start a new one to lock in the profit and use margin and insteod of tight up my cash. By the way I still have a open $32 strike expire tomorrow for max credit is $510.

I started a new one on Tuesday April 30 with XOM CALL by sold $87.50 MAY03 and bought $90 JUL2013 for $.03 credit and current up by $.40 or 16.19% ($40/$247 margin).
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Winner
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Re: Option picks - place some of your option here

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ALL out on GM for 90% profit.

XOM will roll over $87.50 for $.10 credit or more.
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Winner
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Re: Option picks - place some of your option here

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XOM CALL closed as a lost.
Bought XOM PUT MAY10 $90/AUG2013 $87.5 for $.25 net credit. May expire worthless and will continue to collect credit until August on AUG2013 $87.5 with from weekly $90 or $87.50 strike

Have some open trades on earning with total lost expire tomorrow worthless.

Here are few other open trades:

AAPL three separe spread
PUT Sell May10 $465 @ $9.80 /buy May18 $460 @ $9.75 for $.05 net credit
PUT Sell May10 $460/buy May18 $455 for $.25 net credit
PUT Sell May10 $460/buy JUL2013 $435 for $.15 net credit (margin work the best on this one)
*I may let it excersice $465 for the cost @ $455.20 to cover both direction for Monday. If it is under $460 tomorrow and let it exercise all PUT then the cost will be $452.34 (this is breakeven price for short on put and still have next week and July open for more than $8 credit that in for free with credit with closing prices $460@$8.6/$455@$6.05/$435@$10.65). If the trend continue to go up and since I have $8 credit then I will let it exercise. Definitely the stock brokerage will not be like it since I will transfered all my cash to another account and have it use several hundred thousands to excercise all of this and it going up I win both way and most of the time I sell it before market hour or within 10 minute after open then no margin call from the house. [color=#FF0000]This is what I call use 99.9999% of the bank money to make money. [/color] My rule is not to hold more than 10% of account value on any single stock or EFT (symbol), but I violated and currently held more than 50% on AAPL (keep adding and forget the value and this could wipe out the balance very quickly with options). This is scary and for a long time, but it does help to double my account balance within a week. :lol:

COST CALL Sell May10 $110 @ $.62 /Buy OCT2013 $115 @ $1.97 for $1.35 net debit

Risky Butterfly MA CALL MAY10 {At first I bought only $555 (collect 32% profit on 3/4) and let 1/4 for higher, but & failed to collect over 100% profit twice from yesterday and today trades @$3 price), so the last 1/4 lost more than 68% value (without including 3/4 profit) then I convert to butterfly}
$545/$550/$555 for a total cost @ $1.75
Max profit .13%
Potential lost 40.40%
Potential any profit 41.26%
*If it closed around $552 like today then I will regain all my lost + more than 70% profit.
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Winner
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Re: Option picks - place some of your option here

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APPL: sold PUT $350 JAN2015 @ $23.55 with breakeven @ $326.45 or will own stock @ 41% discount from the current price if it drop below $350.
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Winner
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Re: Option picks - place some of your option here

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Winner wrote:APPL: sold PUT $350 JAN2015 @ $23.55 with breakeven @ $326.45 or will own stock @ 41% discount from the current price if it drop below $350.

Sell some more with the average down to $29 so my breakeven will be $321 or 9% ($29/$321)- if by 2015 it trade above $350 then it will be 82% since I only need 10% for the margin.
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Winner
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Re: Option picks - place some of your option here

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Winner wrote:COST CALL Sell May10 $110 @ $.62 /Buy OCT2013 $115 @ $1.97 for $1.35 net debit

I still have the OCT2013 $115 currently at $4 or 98% (include commission) and I also collect $.20 last week and will collect $.18 for $115 strike tomorrow, so tomorrow will be $1 ($.62+$.20+$.18)or collect more than 50% of $1.97 in two week. Most likely I will skip for next week since it not worth it to collect small amount during the week with earning report with high potential give back all the profit.
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Winner
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Re: Option picks - place some of your option here

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Yesterday, I have an open Sell May31 $105Put $5.20/Buy JUN2013 $95Put @ $5 for $.20 credit. Also Sell May31 $110/Buy JUN2013 $100 for $1 credit (current worth around $1.10 to $1.60 debit or total gain $2.1 to $2.60). However, $110/$100 Put diagonal spread is still look good even with debit as $110 put current bid/ask around $5.10/$5.30 with Intrinsic Value $2.30 or $3 is time value to collect ($300 out of $1000 margin that is 30% of time value for one day trade if count $300/$700 ($1K-$300) = +42%) and beside $100 put is a protection. Or $110/$97.5 for credit instead of debit. There 30% profit for one day trade from me to you all if you want to collect (remember if you sell $110 put for $5 or more then your breakeven is $105 and below with $100 Put protetection is free or cost only $1.10 to $1.60 instead of more than $6.10 or $6.30).

I have open COST OCT13, F JAN14 and 75% of my account value is with TSLA mentioned above. As I began to type this TSLA drop $2 that = more to collect more $. If it continue up, but under $110 then I could exercise and my cost will be around $102 per share or my breakeven price on selling part and still have $95 & $100 (free as I collect credit for both trades) for protection.
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Winner
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Re: Option picks - place some of your option here

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TSLA was a bad one, but I did get buy back 1/2 of $110 & $95 for a $1 lost with separate order. On 5/31 Buy to close $105/Sell to open $100 JUN 07 for net credit $.30 and have it as $100 Calender PUT. 1/2 of $110 was assigned at $104 or bought at $104 with $95 PUT to cover as I was out & did not watch the market and return only 2 minutes prior to the market closed, too late to minimize the lost on $110 strike.

On June 3, margin call and I sold it at on June 4 @ $96 that was assigned to me for $104 or lost $8, let assumed at $9 (05/31 & 06/03).

On June 5 for every one contract of PUT $95 strike converted to two contracts CALL $90 JUN 07 plus $.50 credit & closed yesterday for $12.35 per contract or my $95 strike that cost me $5 closed at $25.20 ($24.7 + $.50 converted credit)

I also closed $100 Calendar PUT @ $5 since $100 strike, so profit $5.3 ($5 + $.30 credit for exchange $105 to $100).

:!: CLOSED all TSLA yesterday for $30.50 profit, so the profit is $22.70 ($30.50 - $9 + $1.20 original per contract (I wish) and all of this I started out with $1.20 credit for diagonal spread. My real profits is $13.6 since majority with $100 calendar spread not with $95 strike.

I break my own rule again :oops: to trade on a single stock for more than 10% of my entire account balance, but I glad that I see the :idea:.

Current open COST OCT 2013 & F JAN 2014 (credit collect & get 100% back for the cost on $15 strike).

By the way my PIP for 12 months is 35.40%. I still have 100%S with my real account.
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Winner
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Re: Option picks - place some of your option here

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Here are my actual trades on AAPL with strategy below keep my winning rolling

On July 31, I bought AUG 17 CALL $460 strike for $3.69 (or $369)

On 08/02/13, I bought AUG 17 Call $470 strike for $3.47 ($347) and sell two AUG 9 Call for $1.87 (1.87*2 = $3.74 or $374) for net credit of $.27 ($27)

On 8/8 bought back two AUG 9 Call for $.26 (or gain $1.61 * 2 = $3.23, so my cost is $.24 + $3.69 ($393) for $460 and $470 strike expire on August 17

On 8/13 Sold (short) two AUG 17 CALL $490 strike at $6.1 ($610*2 = $1,220)

On 8/14 bought back to cover two $490 strike at $10 ($1,000*2 = $2000) and sold $460 for $38.35 ($3,835 - $2000 = $1,835) for credit of $18.35 that bring my credit to $1,220 + $1,835 = $3,055

On 08/15 sold (short) two AUG 17 $495 at $5.15 ($515*2= $1,030) and bought AUG 23 $495 at $9.3 for $1 ($100) credit so this brought to $3,055+$100 = $3,155

On 8/16 bought back to cover two $495 strike at $6 ($600*2 = $1,200) and sold $470 for $30.55 ($3,035 - $1,200 = $1,855) for credit of $18.55 that bring my credit to $3,055 + $1,855 = $4,910. After I took all this credit and I still have $495 for free.

Yesterday $495 strike gained more than 110% and while it was up I attempted to sell and buy with net credit for $505 or $510 strike for 2 to 1 as previous mentioned, but failed since I set credit to high. Tomorrow I may just use $500 for $2 or more credit.
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flight23
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Re: Option picks - place some of your option here

Post by flight23 »

Winner wrote:On July 31, I bought AUG 17 CALL $460 strike for $3.69 (or $369)
On 08/02/13, I bought AUG 17 Call $470 strike for $3.47 ($347) and sell two AUG 9 Call for $1.87 (1.87*2 = $3.74 or $374) for net credit of $.27 ($27)

On 8/8 bought back two AUG 9 Call for $.26 (or gain $1.61 * 2 = $3.23, so my cost is $.24 + $3.69 ($393) for $460 and $470 strike expire on August 17

On 8/13 Sold (short) two AUG 17 CALL $490 strike at $6.1 ($610*2 = $1,220)

On 8/14 bought back to cover two $490 strike at $10 ($1,000*2 = $2000) and sold $460 for $38.35 ($3,835 - $2000 = $1,835) for credit of $18.35 that bring my credit to $1,220 + $1,835 = $3,055

On 08/15 sold (short) two AUG 17 $495 at $5.15 ($515*2= $1,030) and bought AUG 23 $495 at $9.3 for $1 ($100) credit so this brought to $3,055+$100 = $3,155

On 8/16 bought back to cover two $495 strike at $6 ($600*2 = $1,200) and sold $470 for $30.55 ($3,035 - $1,200 = $1,855) for credit of $18.55 that bring my credit to $3,055 + $1,855 = $4,910. After I took all this credit and I still have $495 for free.

Yesterday $495 strike gained more than 110% and while it was up I attempted to sell and buy with net credit for $505 or $510 strike for 2 to 1 as previous mentioned, but failed since I set credit to high. Tomorrow I may just use $500 for $2 or more credit.



If I am understanding this correctly though, wouldnt you have just been better off holding the 460 and 470 calls from your initial purchase and selling near expiration for around $7000 in credit?
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