iceman's options trading journal

[iceman1]

Quote from iceman1:

ok I did a 45 put calendar

QCOM

perfect AH action

I have been saying for years they ought to allow options to trade in the AH. It's the most insane thing having the underlying (equity) trading hours extended -- yet have the options close at traditional hours. What a scam.

this 'boxed' qcom position is going to work fine - jsut got a gut feel. Wish I did biggger size

 

[iceman1]

OIH


Hmmmmm... who was it who said to buy puts on the OIH? Ok- so I was a little early! I used to try to be perfect; didn't get me anywhere.

sold 2 more OIH Ni (145p) @ 4.90 = +430

will roll into Mar 140p @



Often early- rarely---- wrong ! But probably, its just luck since I don't do all the quant over-ANALysis that we see on ET!


(could be the peanut butter oreos, though)

 

[iceman1]

Quote from iceman1:

QCOM

perfect AH action

I have been saying for years they ought to allow options to trade in the AH. It's the most insane thing having the underlying (equity) trading hours extended -- yet have the options close at traditional hours. What a scam.

this 'boxed' qcom position is going to work fine - jsut got a gut feel. Wish I did biggger size

short QCOM front 45/50 strangle @215 X12
long QCOM 4750c/mar45p @320

will close both sides if I can get <.25-30

then manage (or close) said open positions once QCOM establishes directional bias, if any

 

[iceman1]

AAPL

figured it was going lower today - said on my other Journal I was entering front month calls "against my bias".

short front 75c/75p (straddle) @ 5.125

+ feb 7250p (will sell more 7250p @ 2.80-3/roll into mar 70p)

+ mar 70p

will watch to see if it reverses and closes hgiher; doubtful it will have an outside day - but will look for such a "key" day - before entering longs.

tried to sell more 75c at open @ 3.70 - didnt take offers @ $330 --- oh well - that's what a discretionary trader gets for not honoring his intuition !

 

[iceman1]

Quote from iceman1:

AAPL

figured it was going lower today - said on my other Journal I was entering front month calls "against my bias".

short front 75c/75p (straddle) @ 5.125

+ feb 7250p (will sell more 7250p @ 2.80-3/roll into mar 70p)

+ mar 70p

will watch to see if it reverses and closes hgiher; doubtful it will have an outside day - but will look for such a "key" day - before entering longs.

tried to sell more 75c at open @ 3.70 - didnt take offers @ $330 --- oh well - that's what a discretionary trader gets for not honoring his intuition !

AAPL

sold all Feb 7250p @ 2.80-310 (+approx 8 x 1.95)




I figure AAPL is "likley" to hold 70 level - so puts at expiry will have 2.50 intrinsic - and 75p would be maxed out - on the other hand IF aapl rises then 7250p may be -0- at expiry IF AAPL is pinned @ 75 strike - so why not sell Feb atm - buy March OTMs and allow for minor repair -even if I give up some small gamma)

 

[iceman1]

Quote from iceman1:

OIH


Hmmmmm... who was it who said to buy puts on the OIH? Ok- so I was a little early! I used to try to be perfect; didn't get me anywhere.

sold 2 more OIH Ni (145p) @ 4.90 = +430

will roll into Mar 140p @



Often early- rarely---- wrong ! But probably, its just luck since I don't do all the quant over-ANALysis that we see on ET!


(could be the peanut butter oreos, though)

I just realized that I FORGOT to check the IV/Hv on the OIH puts before entering!! So---- how did I make ANY profits then? I gotta buy some more options books, I guess. What's the URL for AMZN.com . :eek:

 

[iceman1]

Quote from iceman1:



AAPL

1/26/06

sold all Feb 7250p @ 2.80-310 (+approx 8 x 1.95)



I figure AAPL is "likely" to hold 70 level - so puts at expiry will have 2.50 intrinsic - and 75p would be maxed out - on the other hand IF aapl rises then 7250p may be -0- at expiry IF AAPL is pinned @ 75 strike - so why not sell Feb atm - buy March OTMs and allow for minor repair -even if I give up some small gamma)

I dislike not taking profits on the +leg of what was initially an OTM credit spread - and rolling/repairing although many do not get cute like this- and will lift both sides and take net profit or loss. I prefer to take a look at open interest and the underlying's s/r levels etc. before doing so.

I now have a 75 front month straddle @ 5+

So IF AAPL doesn't gain traction and continues to slide -- then I get assigned stock at approx 70 and have long March 70 puts. Of course if you figure in the profits on the long 7250 February puts actually I can determine that I probably have a + expectancy on aapl IF it goes to -0- ; and this does not include all the profits I took by selling puts, selling calls and profiting from long calls --- on the way up, and then lower post-earnings.

I have made money on AAPL positions while still being early/wrong/biased on direction.

Anyway - the point is for me (and any interested traders)

don't always do things the same way as they say in the books. Try (like mav74 says on forums on ET) - to think outside the box - find your own path in using options.

A big part of this flexibility is to not overtrade the account (with the absurd US option margining on equity positions) such that you leave yourself limited "options" if the underlying pressures you, i.e. can't eat all/any that stock and are forced to liquidate at the wrong time.

Post-expiry aaction is often opposite in direction to the week prior.


So leave outs or get out of the pot -- before you are committed!

 

[iceman1]

Quote from iceman1:

I dislike not taking profits on the +leg of what was initially an OTM credit spread - and rolling/repairing although many do not get cute like this- and will lift both sides and take net profit or loss. I prefer to take a look at open interest and the underlying's s/r levels etc. before doing so.

I now have a 75 front month straddle @ 5+

So IF AAPL doesn't gain traction and continues to slide -- then I get assigned stock at approx 70 and have long March 70 puts. Of course if you figure in the profits on the long 7250 February puts actually I can determine that I probably have a + expectancy on aapl IF it goes to -0- ; and this does not include all the profits I took by selling puts, selling calls and profiting from long calls --- on the way up, and then lower post-earnings.

I have made money on AAPL positions while still being early/wrong/biased on direction.

Anyway - the point is for me (and any interested traders)

don't always do things the same way as they say in the books. Try (like mav74 says on forums on ET) - to think outside the box - find your own path in using options.

A big part of this flexibility is to not overtrade the account (with the absurd US option margining on equity positions) such that you leave yourself limited "options" if the underlying pressures you, i.e. can't eat all/any that stock and are forced to liquidate at the wrong time.

Post-expiry aaction is often opposite in direction to the week prior.


So leave outs or get out of the pot -- before you are committed!

p.s.

and IF I take short stock @80+ ---- I still have some (cheap) calls to act as cover.

 

[iceman1]

SOX

to short or not to short today's upside that is the Q?

I think today presents a decent short opportunity - however we may not see any significant PB until after the close of January.

I'm actually long Sox Feb510/520 calls -- but got impatient and sold upper strikes too soon. Thus I will likley forfeit over 1500 on each contract, and also be faced with the dilemna of whether to lift longs, and (repair) convert short side into a bear spread, given today's obvious (initial) move higher OR close short side at a loss and roll up a few strikes looking for a trend continuation into February expiry---- but thereby risking a trend reversal as opined in paragragh 1.

 

[iceman1]

Quote from iceman1:

"11-Jan-06
Minutes ago Herb Greenberg discussed three stocks that are 'red flagged': TTWO, FFH, and HANS. Says that TTWO is expected to file 10-q with the SEC, says that the co is filing earnings 60 days after quarter, should pay attention as to why it has taken so long."

Briefing.com




I'm sure there is plenty of short interest for fuel is nothing is fishy

But it's in a triangular pattern and it is very possible it could be resolved to the downside as a continuation move and maybe trade to to 12-13, rather than reversing higher.

My view in entering a strangle last week was 24 or 12 was doable.

bjdhawk

hope you kept front month 1750p you said you entered-- and exited the long (calls) side -- assuming you took the trade idea off this journal.

You recall my original premise was the uncertainty (and short interest) surrounding TTWO, and that a reasonable move was thereby imminent. Thus a long straddle or strangle seemed a decent r/r trade ----- the expectancy of which could be maxed by exiting the non-performing leg. I also noted how TTWO was in a triangular pattern (i.e. a descending right triangle)-- which I am hopeful you also noted - and stated to you that this could be a "continuation" pattern (as most are) and not a reversal of the intermediate trend.

This provided us with a reasonable (downside) measuring objective - once (IF) it broke lower, and failed to break above said lower line.

Please let me know (or PM ) what is your current status vis-a-vis TTWO positions.

I am now placing this on my radar for a long entry - but not until a measured objective is achieved from this downside continuation (break) move. I am not comfortable going short and think I can do better waiting to enter long near a solid bottom on this underlying.

regards,
iceman