Trading in Luxury

[traderlux]

looking at some cyber security etfs and interesting stocks

HACK, etf
HAKK, 2X+ etf
HAKD, 2X- etf

stocks CHKP, CYBR, FEYE, FTNT, PANW, PFPT, SYMC

there are a lot more players in this field, but these seemed like some to start looking for opportunities.







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[Handle123]

a hedge idea I got from another trader that I want to take a look at,
5%
sell 10 SPY shorts puts, take a little bit of that credit
and buy a longer out long put
maybe 1 or 2 long puts from that credit

when you get a down turn it will give you the time to adjust and make a little profit

hmmmm, how much is the margin going to be on 10 naked Puts?

What happens in an unexpected occurrence happens in middle of the night and market drops 5% or more, what if market plunges and you can't get out?

https://en.wikipedia.org/wiki/List_of_largest_daily_changes_in_the_S&P_500_Index

I have learned "never say never".

 

[xandman]

I made a quick visualization of the largest % moves using only 2008-2009 data. I sure would like to see the PnL from Nitro's model during this period as he was very prolific.

 

[xandman]

Here is the two busiest months intra-day point swings as a % of the closing price.

 

[traderlux]

stocks I am considering for cash secured puts,

AAPL, BAC, CSCO, MSFT, INTC, JPM, PM,

sold strike just OTM, time about one month,
prefer to close when get about 50% of premium,
prefer to roll rather than be assigned,
if take assignment, do CC and/or collect dividend

 

[traderlux]

marked a VXX wed variation trade on 1/12

entry wed $21.42, exit thu $22.43

2 lot, $4284, return $202, 4.7% return

 

[traderlux]

VXX thu/fri trade on 1/12

entry thu $21.42, exit fri $21.44

2 lot, $4284, wash

 

[traderlux]

some general thoughts on trading VXX and SVXY,

the main strategy for VXX, buy puts,

add puts on spikes,

another plan, wait for spikes and then buy puts,

buy calls on SVXY

 

[traderlux]

some general thoughts on using credit spreads verses debit spreads,

a credit spread may give more room to be wrong in your thinking on the directional move of the underlying,

the debit spread, if the directional plan holds true, may give a greater percent return over the credit spread, it is less forgiving if direction choice is wrong

 

[traderlux]

the main doomers are all calling for horrific crashes this year, bonner, casey, dent, edleson, schiff, stansberry, is this their year?