Nice fill magic. Did you just get out?If so care to explain your methodology of holding for over an hour?
Earnings journal
- Thread starter TheBigShort
- Start date
Trying to optimize the exits on these bugs me every time I trade them lol. I think I made like 5 posts on that earlier on. Still don't know what is possible vs. an annoying mirage.
Haven't gotten around to getting anything precisely quantified yet. But I've tried to build a little on the earlier protocol we discussed with oldmonk. Generally establishing "opening range", then exiting if price is going outside of range. Otherwise in the range we have three vague possibilities. Pathing away from strike, toward it, and sideways drift. Exiting right at the end of a path toward the strike seems to be better than fixed time exit.
Haven't gotten around to getting anything precisely quantified yet. But I've tried to build a little on the earlier protocol we discussed with oldmonk. Generally establishing "opening range", then exiting if price is going outside of range. Otherwise in the range we have three vague possibilities. Pathing away from strike, toward it, and sideways drift. Exiting right at the end of a path toward the strike seems to be better than fixed time exit.
Are you using overnight hours in your opening range? Or is it like the first 5 minutes of the open sets the range?
Haven't committed to a completely hard rule yet. Haven't factored in the ON range actually; that is a good thought. I'll have to think if it makes sense to blend them or consider the ON range as a separate event from opening liquidity for these purposes. Price extremes of the first 15 minutes is a primary input. Never know how candid to be out here in the open haha.
Ill post screen shot when I get home.
Short DRI 125/130 Oct Strangle for 6.24
Short MLHR 45 Oct Straddle for 4.80
Short DRI 125/130 Oct Strangle for 6.24
Short MLHR 45 Oct Straddle for 4.80
Not in the way you two are trading earnings (ie. hold through earnings) - I enjoy following your adventures and want to adapt what you do into my portfolios.
I trade pre-earnings calendars - where the short is the week of the earnings and the long is the next monthly out. This is quite comms intensive, and only a handful of stocks are suitable for this type of trading, so there has been little or not action for me in Sep. Hence, I have a lot of interest in this thread as your way of trading opens up a ton of underlyings and hence opportunities.
All my cal trades are closed before the earnings announcement.
I use a system based on a paid subscription service, so am unable to go into details.
I actually got filled on just before the close on a Sep 45 MLHR straddle. Stock is only up 2.50 from strike after news, hopefully we can hang around this 47.5 number.
Thanks @Magic!
Thanks @Magic!
Out of curiosity are you using @SteadyOptions service? Your strategy seems very similar to theres. If so, how is Kim doing? I miss his insightful posts on this board!
Yes that's the one. It's been a good experience, and I have competence in pre-earnings calendars to the point where one of my portfolios is entirely devoted to these and it's enough to give a good annual return. However, the drawback is the lack of scalability, and the high comms.
I'd like to get heavily into through-earnings and post-earnings trades too, to increase the number of hits I can have with each cycle.
I appreciate the posts you guys are putting out on this thread, and hopefully, before long I will also start posting more actively here with real trades.
Yea it's cool to have new people join the group. Surprisingly there has been no BS on this thread and most of the top dogs on this board have commented on here at some point.
I have only heard good things about Kim! Last I remember he was doing really well with the steady options hedge fund he started. I think it was @newwurldmn who said it the best - "Kim is long theta and long gamma at all times". I really need to try out his service some time.