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  • #18,101
  • Jul 14, 2022 10:17pm Jul 14, 2022 10:17pm
Quoting The Fool
{quote}...I am shooting for a minimum 1% return per week, as a % of total account equity. I usually get that or more, but sure, sometimes I miss, get little to nothing, and even lose some money. Best week I have had this year is +$16k, worst is -$2.3k. I'd say an average week these days is around +$5k. My goal is to get combined accounts up to large enough size to reliably bring in $10k per week from active trading. (So, per fancy math, that'd be a $1MM options trading account.) I don't know if I ever will get there. Pretty regularly, when I have...
Thanks for replying and good luck
  • #18,102
  • Jul 16, 2022 1:55am Jul 16, 2022 1:55am
IN the next couple weeks I am looking for some solid gains for US indices. I won't be surprised to see lots of 60-80 pt daily candles up until FOMC. Old gaps for SPX filled all the way up to 4,100. For the coming week I'm looking for a run to 4,000. The Jul 22/25 4,025/4,050 call diag below went on for $0.00. It'll do best with a Friday finish @ 3,980 +/- 2....
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"If The Fool persists in his Folly he will become wise." - William Blake
  • #18,103
  • Jul 16, 2022 4:16am Jul 16, 2022 4:16am
Hey friend, please suggest me too how to get gains for US indices.
  • #18,104
  • Jul 16, 2022 8:49pm Jul 16, 2022 8:49pm
Quoting petroteq
Hey friend, please suggest me too how to get gains for US indices.
You're asking for investing advice from a guy on the internet named "The Fool"?
"If The Fool persists in his Folly he will become wise." - William Blake
  • #18,105
  • Jul 18, 2022 2:31am Jul 18, 2022 2:31am
to hedge the SPX call diag above, I will try to get into long Jul 22 SPY calls @ $400 or less - one way would be to buy the Jul20/22 call calendar...enough to take some off in profit & leave some off to hedge the SPX spread with the long $400 July 22 calls.....

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"If The Fool persists in his Folly he will become wise." - William Blake
  • #18,106
  • Jul 18, 2022 12:25pm Jul 18, 2022 12:25pm
this week's SPX/SPY set
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"If The Fool persists in his Folly he will become wise." - William Blake
  • #18,107
  • Jul 19, 2022 4:07pm Jul 19, 2022 4:07pm
Quoting The Fool
IN the next couple weeks I am looking for some solid gains for US indices. I won't be surprised to see lots of 60-80 pt daily candles up until FOMC. Old gaps for SPX filled all the way up to 4,100. For the coming week I'm looking for a run to 4,000. The Jul 22/25 4,025/4,050 call diag below went on for $0.00. It'll do best with a Friday finish @ 3,980 +/- 2....
...weekly spx chart was screaming "bull breakout"
"If The Fool persists in his Folly he will become wise." - William Blake
  • #18,108
  • Edited 5:23pm Jul 19, 2022 5:12pm | Edited 5:23pm
Quoting The Fool
to hedge the SPX call diag above, I will try to get into long Jul 22 SPY calls @ $400 or less - one way would be to buy the Jul20/22 call calendar...enough to take some off in profit & leave some off to hedge the SPX spread with the long Jul22 $400 July 22 calls.....
...have the call diagonal above hedged with Jul22 SPY long calls @ $400, 399, and 398. With the big move up today I will probably buy Jul22 puts @ $375 +/-...Not a ton, but even a couple will help me sleep better. In reality, the spreads that I have really plowed in the hedges have been the best yielding trades I have made, since the spreads themselves may pay well, but the hedges placed well inside ( 50 pts or more ) the short leg of the spread sometimes are numerous and go very well itm.
"If The Fool persists in his Folly he will become wise." - William Blake
  • #18,109
  • Jul 19, 2022 10:42pm Jul 19, 2022 10:42pm
Quoting The Fool
{quote} ... With the big move up today I will probably buy Jul22 puts @ $375 +/-...
...more likely fold current put spread, try to get into one for next week for credit...
"If The Fool persists in his Folly he will become wise." - William Blake
  • #18,110
  • Jul 20, 2022 1:24pm Jul 20, 2022 1:24pm
Quoting The Fool
{quote}...more likely fold current put spread, try to get into one for next week for credit...
....DECISIONS, decisions, Thursday is usually D-day. I hate to bag the put side for no/low gain, since the put side yield is typically about 2x what the calls give, as the calls drain off iv on a rise to the target......

Anyway, I was hoping we'd set up for a Friday battle for 4,000......
"If The Fool persists in his Folly he will become wise." - William Blake
  • #18,111
  • Jul 20, 2022 9:30pm Jul 20, 2022 9:30pm
Been modeling the back spreads. These are a great play when you expect a big move. The gripe on them is they have the dreaded "valley of death" - a characteristic dip in the P/L curve near expiry. However, with a fly on a different but well-correlated underlying vehicle, you can backfill that valley & mitigate its threat of ruin.

Examples shown are IWM and RUT. I have not traded this pair much. The volume in RUT is paltry. Too bad, because it's ok in IWM. Also, I don't necessarily expect a big down move in IWM. These backspreads can be put on at low debit if you don't mind burning the margin. But, the wider the spread, the deeper the valley.

The single RUT fly hedges a 10/20 IWM backspread....
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"If The Fool persists in his Folly he will become wise." - William Blake
  • #18,112
  • Jul 21, 2022 1:04pm Jul 21, 2022 1:04pm
The analyzer function is pretty inaccurate as these diagonals grind down to the end, especially if the strikes are in play. You have to check them in the last hours, check the chain, in reality a pin at 4,000 on Friday in the last hour will be ubersweet - the Jul22 4,025s will be approaching $0, while the Jul25 4,050s will be somewhere around $4-5. The call diagonals are not as generous as the put side, but they can pay off big with a tight finish.
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"If The Fool persists in his Folly he will become wise." - William Blake
  • #18,113
  • Jul 21, 2022 2:10pm Jul 21, 2022 2:10pm
thinking ahead now, I think the better moves off the FOMC will be in the following week...eased into a 10-lot of the wide-ish SPX put flys shown for dollah. I like these guys, have a generous profit range, burn no margin, this will give >10bag at expiry if SPX is between 3,600 and 3,700. I usually start taking some off b4 expiry, if so lucky. MaxP > 15x. As noted above, I will use flys to hedge backspreads and other risky trades.
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"If The Fool persists in his Folly he will become wise." - William Blake
  • #18,114
  • Jul 22, 2022 10:11am Jul 22, 2022 10:11am
Gotta ride it
Inserted Video
"If The Fool persists in his Folly he will become wise." - William Blake
  • #18,115
  • Jul 22, 2022 10:58am Jul 22, 2022 10:58am
Quoting The Fool
The analyzer function is pretty inaccurate as these diagonals grind down to the end, especially if the strikes are in play. You have to check them in the last hours, check the chain, in reality a pin at 4,000 on Friday in the last hour will be ubersweet - the Jul22 4,025s will be approaching $0, while the Jul25 4,050s will be somewhere around $4-5. The call diagonals are not as generous as the put side, but they can pay off big with a tight finish.
Holding out for a spectacular close, another run to 4,000. I took off a small % at $1.60 on the calls. Holding the rest. On the dip I rolled up the 4,025 short calls to 4,030 for 15c....I didn't get to be the Fool by doing the easy smart thing...
"If The Fool persists in his Folly he will become wise." - William Blake
  • #18,116
  • Jul 22, 2022 7:52pm Jul 22, 2022 7:52pm
the show must go on .. next week's SPX/SPY setup....I want that kitty for a dime net debit, we'll se what she looks like Monday
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"If The Fool persists in his Folly he will become wise." - William Blake
  • #18,117
  • Jul 24, 2022 7:08pm Jul 24, 2022 7:08pm
need to sell some premium while I can, to fund some of these spreads. IC shown goes out 32 days to sell 6 delta on the puts and 16 delta on the calls, 30 pts wide I might go up to 50. If I'm going 60 wide total I'd like to get better than $6 up front.

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"If The Fool persists in his Folly he will become wise." - William Blake
  • #18,118
  • Jul 26, 2022 12:31am Jul 26, 2022 12:31am
Weekly double diag, adding a day, maybe catch a runner into Fri-Mon, call side un hedged
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"If The Fool persists in his Folly he will become wise." - William Blake
  • #18,119
  • Jul 26, 2022 12:06pm Jul 26, 2022 12:06pm
Quoting The Fool
need to sell some premium while I can, to fund some of these spreads. IC shown goes out 32 days to sell 6 delta on the puts and 16 delta on the calls, 30 pts wide I might go up to 50. If I'm going 60 wide total I'd like to get better than $6 up front. {image}
putting off SPX IC until early next week, let the Fed/GDP/ERs jack the ivs.......
"If The Fool persists in his Folly he will become wise." - William Blake
  • #18,120
  • Jul 27, 2022 6:43pm Jul 27, 2022 6:43pm
Quoting The Fool
Weekly double diag, adding a day, maybe catch a runner into Fri-Mon, call side un hedged{image}
IF the spoos breakout today follows through some tomorrow, say to 4050 - 4070, then the 4,100/4,125 diag can come off for net $3.50 maybe $4, which will get me past a 1% target for the week....

I also have Jul29/Aug 2 4,125/4,150, entered for 30c, can similarly net out maybe $4 on a Friday hit @ 4,108. Been tough to find any good trending moves lately, though, lots of 3 steps up/2 steps down in the torturous rally.

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"If The Fool persists in his Folly he will become wise." - William Blake
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