With the increase in volatility today (still historically low for now) and QQQ at 374, I sold a QQQ iron condor.

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No risk to the downside, and if we get a rally, could potentially make some money. By the time this filled, I received .09 in credit.

Bought 1 SPY 07/21/23 Call 436.00 for 6.76

Bought 1 SPY 07/21/23 Call 446.00 for 2.13

Sold 2 SPY 07/21/23 Call 440.00 @ 4.49

Here’s a video we made about BWBs in general

Jerry

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Taking a shot at a fairly neutral MSFT Iron Condor Before Earnings today

To enter the trade:

• Sold 1 MSFT 05/19/23 Call 295.00 @ 2.35

• Bought 1 MSFT 05/19/23 Call 300.00 @ 1.49

• Sold 1 MSFT 05/19/23 Put 260.00 @ 3.07

• Bought 1 MSFT 05/19/23 Put 255.00 @ 2.24
  

  I collected 1.69, but currently it’s trading for 1.77

Happy Trading, and Good Luck!

Jerry

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Hot Trades - SPY Iron Condor (CLOSED FOR PROFIT)

Trade #1: Close SPY IC. With the moderate decrease in volatility during the middle of this week, I decided to close my SPY Iron Condor for 19% of the maximum profit, or $31. (Image #1 above). Usually I go for $83 (or 50%), but I felt that volatility had gotten fairly low, and wasn’t going much lower so I thought I would take the opportunity to close the March Iron Conor in SPY for a profit.

To close the SPY Iron Condor For a 1.38 debit:

• Bought 1 SPY 03/17/23 Put 385.00 @ 1.90

• Remaining Instructions for Subscribed Members

Trade #2: After a member pointed out the high IVR% in UNG (Natural Gas) this week I decided to also add a ratio spread. UNG is already very low and there is no risk to the downside in this trade. Should UNG reverse and head towards $9 on or before April 21st, I can make up to 1.42. My break even on the top is 10.50, and after that I’d be obligated to purchase 200 shares of UNG for whatever it’s trading at. Alternatively, I could close for a loss. My plan is to collect around 30-50% of profit and exit the trade quickly before I run into any sort of breach of the break even.

To Open the UNG Ratio Spread for a .50 credit:

• Bought 1 UNG 04/21/23 Call 7.00 @ 1.56

• Remaining Instructions for Subscribed Members

Other trades from this week:

• Opened a new “SPY-like” Iron Condor in April using XSP, the “Mini” S&P 500 Index. (See Image #3 above, and note the 41.3% juicy IVR%). Strikes for Premium Members, but hint, you can probably figure it out from the XSP image above! Collected 1.64cr on entry.

• $38 profit in a 2nd Amazon covered call at the 105 strike. Closed for a 2.04db leaving me with $38 profit.

• Opened a long 10 year short 2 year pairs trade, betting the yield curve would start to steepen.

• Reset a Poor Man’s Covered Call in WBA

• Did a Bearish QQQ Put/Debit Spread, recommended by our friends over at the Antagonist.

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All rights reserved. Money Vikings, LLC is neither an investment or financial advisor. Money Vikings, LLC does not provide financial advice and none of the information being provided is to be seen as such. This is to include, but not limited to, any articles, videos and/or any other social media outlet presented by Money Vikings, LLC. All content is the opinions, beliefs, and personal strategies of the author(s) and owner(s) of Money Vikings, LLC (Greg and Jerry). Money Vikings, LLC recommends that everyone do their own research, technical analysis, and develop their own conclusions, prior to initiating any trade activity supported by their own understanding, abilities, and risk tolerance. All trades carry inherent risk and proper risk management strategies should be used accordingly. Money Vikings, LLC does not guarantee results and is not liable in any way for losses incurred by any person or organization. Periodically, we may highlight services we are using and may receive compensation from their respective affiliate programs.

• Bought 1 AAPL 12/16 Put 135 @ 0.91

• Bought 1 AAPL 12/16 Call 165 @ 0.83

• Sold 1 AAPL 12/16 Put 130 @ 0.53

• Sold 1 AAPL 12/16 Call 170 @ 0.34

SPY has an IVR of 52.8% and seems like a good candidate to enter a range-bound risk-defined neutral iron condor for around $166 in credit (max profit). This iron condor is 5$ wide so the max loss is $334, which is $500-$166.  This trade has a 74% chance of closing for a $83 profit on or before August 19th. You will collect approximately $3.29/day in theta decay if SPY stays where it is. I'm entering this trade out to August 19th, with 36 days until expiration.

To enter the trade do the following:

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Closing 2 Trades - SLB Strangle & QQQ Iron Condor

Today we ended up closing 2 trades—one Iron Condor by choice (QQQ) and the other Strangle because our short put (SLB) caused us to be assigned 100 shares.

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I’d love to see SLB reverse around here and end up somewhere between the 2 blue lines (42.50 - 45.00). Closing at this point for -$286 wouldn’t be the end of world, but I’m willing to risk ownership or a bit more for a bounce over the next week. Nothing wrong with closing here though.

Quick recap of how we got here:

5/25 - we opened a short 37.5 put and a short 52.5 call for 1.62 credit out to July 15th.

6/7 - we rolled up the 37.5 put to a 42.5 put for a .49 credit

6/16 (today) we rolled down the 52.5 call down to a 45 call for a .49 credit

In total, we’ve collected 2.60 in premium, but the trade is worth -5.46, putting us at a negative -2.86 if we were to close today (-$286).

Here’s my thinking: We have 29 more days until expiration, and I usually close my trades at 21 days to expiration, so I am OK waiting another week if SLB doesn’t go down too much further. This will give some time for SLB to perhaps recover. If not, I could 1) close for a larger loss, or 2) end up owning it for $4,250 (price of put) - $260 (total credit received) = $3,990 and I’m currently OK with that as a long term buy and hold.

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All rights reserved. Money Vikings, LLC is neither an investment or financial advisor. Money Vikings, LLC does not provide financial advice and none of the information being provided is to be seen as such. This is to include, but not limited to, any articles, videos and/or any other social media outlet presented by Money Vikings, LLC. All content is the opinions, beliefs, and personal strategies of the author(s) and owner(s) of Money Vikings, LLC (Greg, Jerry, and Bob). Money Vikings, LLC recommends that everyone do their own research, technical analysis, and develop their own conclusions, prior to initiating any trade activity supported by their own understanding, abilities, and risk tolerance. All trades carry inherent risk and proper risk management strategies should be used accordingly. Money Vikings, LLC does not guarantee results and is not liable in any way for losses incurred by any person or organization. Periodically, we may highlight services we are using and may receive compensation from their respective affiliate programs.

SLB Strangle Adjustment

A strangle is a neutral strategy. It is the combination of an out of the money short put and and an out of the money short call. Your goal is to profit from time decay (theta) if the stock stays between the lines. If we underestimate how high we think the stock will go and it breaches the upper call, we will need to purchase the stock at whatever it's trading for at expiration.

If we underestimate how low the stock goes, and it breaches the put, we will also need to purchase the stock at the put's strike price, even if the stock is worthless. (These are both worst case scenarios and we can certainly exit to the trade for a loss prior to expiration). This is why we deem strangles as "high risk", and usually don't enter any in stocks higher than $50/share.

For SLB, we entered a trade on 5/25 with a 37.50 put and a 52.50 call to July 15th, collecting $162 in premium. (This was mentioned in our Weekly Newsletter)
Today, 6/7, I adjusted the put and rolled it up from 37.50 to 42.50, collecting another $49 in premium. I did this because of the rally in SLB and to keep my delta around 16.

To adjust this strangle:

• Buy to close +1 SLB 07/15 Put 37.50 @ 0.24

• Sell to open  -1 SLB 07/15 Put 42.50 @ 0.73

In total, I've collected $211, and am just waiting for this baby to hit 50% of my initial entry, or 81$ in profit.

With the recent market pullback, the COPX short call we sold in March has gone down in value very quickly. The $100 we collected in March for the 49 strike short call is is now worth $10. Today I bought it back, giving me a $90 profit in the short call.

Want to know more about this trade or enter a new Covered Call in COPX today?

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On 4/8 I made a contrarian bet that interest rates will start to come back down, and sold a defined risk TLT Bullish Put Credit Spread (+1 114p/ -1 119p) to execute this strategy. TLT has continued to go down with the rise in rates. This week, I felt I'd given this trade enough time, and took on enough risk, so I closed it for a -$91 loss. You can probably do better and close today for < -$50 today. In order to close this trade do the following:

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On Friday 4/8 I made a contrarian bet that interest rates will start to come back down, and used a TLT Bullish Put Credit Spread to execute this strategy. TLT is the iShares 20+ Treasury Bond ETF so its price moves inversely to rates. 

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AMC does appear to be breaking out of a Bull Flag . However, the momentum behind it will determine if it truly is a break to new highs. Going to pay close attention to the $72 high to see if we bounce off it, or break through it. Be aware of a Pennant Flag formation . Too many failed attempts to break through $72 and the price will collapse. Fore more trading tips and investment ideas, visit https://www.moneyvikings.com You can also subscribe to our podcasts: https://Podcasts.moneyvikings.com As always, please let me know if you see something I didn't catch.

7/2 -DO NOTHING HERE – UIS has not done a whole lot in the last few weeks which is fine for our covered call position. It’s currently trading a few cents below our initial entry, so we’re down in the stock, but the 28$ call has depreciated in value (theta decay) so the option is worth less and we can buy it back to close for cheaper. Currently the net PnL is -$30.00 but let’s continue to wait as there’s nice support at 24, and the option time value should continue to decay. Soon (before 8/3 earnings) we’ll decide if we want to roll it out in time or close the whole position (for a profit we hope!)

6/23 – I love covered calls. Right now UIS has earnings on 8/3/21 has an Implied Volatility Rank of almost 30%, which means you’ll get more premium than usual. For $25.50, buy 100 shares of UIS and sell the August 20th 28 strike call against it, collecting between .90 and 1.05. You will break even if the stock is above 24.50, but my plan is to sell and possibly roll out another month at 50% before the 8/20 earnings event, collecting around 50$ for the call, and all stock profits up to 28$. Should it exceed 28$ you can hold until expiration and collect up to $350.

6/23 - I love covered calls. Right now UIS has earnings on 8/3/21 has an Implied Volatility Rank of almost 30%, which means you'll get more premium than usual. For $25.50, buy 100 shares of UIS and sell the August 20th 28 strike call against it, collecting between .90 and 1.05. You will break even if the stock is above 24.50, but my plan is to sell and possibly roll out another month at 50% before the 8/20 earnings event, collecting around 50$ for the call, and all stock profits up to 28$. Should it exceed 28$ you can hold until expiration and collect up to $350.

6/26 - Weekly Summary - Entered this position on Wednesday 6/23 and UIS as appreciated to 26.03. This is good. The call has appreciated in value from $100 to $125. While this sounds good, it's a call we sold so now I need to net out -$25 from the gain of about 39$. Over time, the value of the call should start to decrease. I'd say this week the covered call went well, and I'm not making any changes or adjustments. My plan is to buy back the call at 50% of the premium received, or 50$.