3309 Drysdale Ct
Edwardsville, IL 62025
TSLA - I was looking to press short in my favorite name to short
these days....but it looks like that trade setup Matt outlined
yesterday may be about to trigger on the 15 min and maybe already
triggered on the shorter time frames. Newbie at this strategy. That
was more of a question than a statement.
It's possible, Digi. MACD has crossed down slightly, but if
price moves up NOW, could become a kiss. The Slow Stoch is primed
to signal, so we'll see.
Thanks Bandit. Wasn't the cleanest setup ever, as you pointed
out, but I took the trade. Not a lot of risk to these setups (if
you use stops).
*Seems to be working off a demark 9 sell signal on the 3
minute at the moment. Hoping it uses time to work it off, instead
Setups based on known signals / patterns always look so obvious
in retrospect. But that's because we tend to review the ones that
DON'T fail and disregard the ones that do. Daytrading looks so easy
when you start studying it. Not so. That's why I primarily stick to
selling option premium. I can't take the amount of failure inherent
in even a winning day traders life. But I still dabble here and
there and I found the education last night very interesting (thanks
You've got the right idea by selling premium. Wish I had the
stones to sell naked options.
I don't sell options naked unless I'm actually looking to enter
at a discount (own the stock). Even when I used to sell naked
options regularly, it was only selling strangles (short calls and
puts at the same time). Naked options have a huge hit to
buying power. I didn't care as much before, but now my monthly
interest earned is not insignificant, so I want to keep my margin
levels as low as possible. I will put on a "risk reversal"
every once in a while, sell a naked put to finance a naked call,
but that's still only when I'm willing to own something
outright...which is rare.
SPX - I put on a few of these condors yesterday. Up 8% ish so
far today, but iron condors are like watching paint dry for the
most part...until one side gets challenged (always happens, these
days). Then the real action begins.
thanks for sharing, I'm always interesting to see various option
strategies besides just simple buying a call or put
Trade profile for SPX trade. Return potential was more like 32%
when I put it on.
P&L section based on exit on or about Nov 1st. *I
assume that I will have to adjust one side. I'm not hoping it will
stay in the middle for max profits. It takes some work to squeeze
the juice out of these things.
This particular trade is up $173 today (if you bought 1 lot
Now that's cool
You are brave to trade Iron Condors in this market. I know the
volatility gives very wide strikes but this is not for me. Good
Mundy - I'm chicken, that's why iron condors. I hate losing
money. I keep about 90% of my account in cash most times. Actually
my cash is higher than my net liq value but that's because I'm
primarily a premium seller. The 10% is my risk on the table.
Because I use so little capital, when one side of condor gets
challenged, I'm able to roll out and down to give it more
time...but I like to roll down and double at least once in the same
month before I roll out...otherwise I'm giving up that months
income. The doubles get expensive quickly though. I only
trade index options with this strategy. I don't want to deal with
single stocks where going to zero is even a small
Excellent point: "Not a lot of risk to these setups
if you use stops). "
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