• Brandon

Today's Market Moves

Opened 3 new positions today and reached my maximum margin threshold. I talked about some of these positions in the Weekly Trade Ideas video put out yesterday, and because today had all the right price action I was looking for, I decided to bite on some of those ideas.

First up we have $AAPL. This stock is way oversold, and has high implied volatility. This means that we can sell for decent premium far away from the market and maintain a high chance for profit. I wanted to see this stock bounce after holding the 149-150 area of support, and it did. The position is the Nov17 140/145 Bull Put spread filled @ 1.09. For more details, consult the video.

Next we have $FB. Again, a very oversold stock, but not one that I want to play directionally. Since implied volatility spiked due to yesterday's 4% selloff, it was possible to sell good premium quite far from the market and maintain a high chance for profit. The position is the Nov17 145/150/1800/185 Iron Condor spread filled @ 1.37. For more details, consult the video.

Last is a position not discussed in the trade IDEAS video. $SMH, like these other two stocks, sold off yesterday as part of a broad sell-off in the technology sector. I traded this successfully earlier in the summer during similar conditions, albeit that was paper trading, as I was still opening my IB account and all that. The same strategy applies here: implied volatility spikes, decent premium can be sold distant from the market with a high chance for profit. The position is the Nov17 79/84/95/100 Iron Condor spread filled @ 1.05.

All of these positions can be found in the CLT Options Trading Log, found here. If you want to get "alerts" and stay updated on my trading in real-time, follow me on StockTwits or Twitter.

**Note how cheap the commission was on the $SMH position! 4 contracts for less than $2. This is why I stated that although Interactive Brokers can be pesky and unpredictable in my MEGA Review of Interactive Brokers, I'm saving a ton of money trading with them over OptionsHouse / E*Trade or TD Ameritrade.

Featured Posts
Recent Posts
Archive
Search By Tags
Follow Us
  • stocktwits
  • Twitter Basic Square
  • Facebook Social Icon
  • YouTube Social  Icon

Follow us on Social Media!

  • tradingview
  • stocktwits
  • Twitter Social Icon
  • Facebook Social Icon
  • YouTube Social  Icon

All content is for informational purposes only. Nothing on this site is a solicitation to buy or sell any security. The past performance of any investment, investing, or trading strategy or style is not indicative of future performance. Nothing on this site is intended to be investment, accounting, tax, or legal advice. See full disclaimer here.

Options are not suitable for all investors. Prior to trading securities products, please read the Characteristics and Risks of Standardized Options

© 2017-2020 CLT Options, LLC - Legal