GME - OPTIONS - Just looking at the options pricing. I see a
decent risk reward on puts side. For example Feb 50 strike puts
could multiply 10 times if this stock drops 100$ and that
seems a good chance it will happen. We just have to find a good
entry point and not chase the lows. I would get into this trade
only if you are ready to lose all your money...
Maybe Matt can help us with KISS charts to find an entry
Arun - Can you follow up on this math? GME is down 140
today but it doesn't look like Feb puts with a 50 strike are up
10x, they're up like 2x. Still good, just curious how you got
to 10x.
I did that math based on the pricing yesterday. If the
implied volatility drops then options pricing can drop dramatically
. I never took this trade btw
Posted by 2schnauzers on 1st of Feb 2021 at 12:45 pm
yeah Friday I sold the 40 puts for this week. everyone's risk
tolerance, overall portfolio composition, is different. i sold them
friday for 3.00 they are .79 now due to decrease in implied
volatility (even though stock price is lower from 328 friday to 250
now).
GME - OPTIONS - Just
Posted by arun on 1st of Feb 2021 at 11:02 am
GME - OPTIONS - Just looking at the options pricing. I see a decent risk reward on puts side. For example Feb 50 strike puts could multiply 10 times if this stock drops 100$ and that seems a good chance it will happen. We just have to find a good entry point and not chase the lows. I would get into this trade only if you are ready to lose all your money...
Maybe Matt can help us with KISS charts to find an entry
Arun - Can you follow
Posted by shecar on 2nd of Feb 2021 at 10:55 am
Arun - Can you follow up on this math? GME is down 140 today but it doesn't look like Feb puts with a 50 strike are up 10x, they're up like 2x. Still good, just curious how you got to 10x.
I did that math based
Posted by arun on 2nd of Feb 2021 at 12:36 pm
I did that math based on the pricing yesterday. If the implied volatility drops then options pricing can drop dramatically . I never took this trade btw
i will let someone else
Posted by RP on 1st of Feb 2021 at 11:10 am
i will let someone else play with that one....
Depending on your risk tolerance
Posted by 2schnauzers on 1st of Feb 2021 at 11:08 am
Depending on your risk tolerance you could consider selling weekly puts, I am short the Feb 5th 40s
short 40`s ?? you mean
Posted by arun on 1st of Feb 2021 at 11:22 am
short 40`s ?? you mean you sold those puts ?
yeah Friday I sold the
Posted by 2schnauzers on 1st of Feb 2021 at 12:45 pm
yeah Friday I sold the 40 puts for this week. everyone's risk tolerance, overall portfolio composition, is different. i sold them friday for 3.00 they are .79 now due to decrease in implied volatility (even though stock price is lower from 328 friday to 250 now).
Nice move
Posted by arun on 1st of Feb 2021 at 01:20 pm
Nice move