Vol-trading for beginners

[destriero]

I haven't been in TSLA for a few weeks as I have been babysitting a large synthetic SPX call and VX long. I am out of that now so I will focus more on single name positions. I would diagonalize it; go into Jan vol and short wings around it.

 

[deltaf0rce]

I haven't been in TSLA for a few weeks as I have been babysitting a large synthetic SPX call and VX long. I am out of that now so I will focus more on single name positions. I would diagonalize it; go into Jan vol and short wings around it.

Long TSLA stk from 597 (200ma)

 

[horizon]

Hey Dest,
Would you please help to convert this trade to a fly? (I am using your UCO example that you posted months ago).
Buy 50 shares XYZ at $52
Short 1 call XYZ $51 , credit collect $4.0
The reason because the account is an IRA and can not short a naked call.

 

[destriero]

Hey Dest,
Would you please help to convert this trade to a fly? (I am using your UCO example that you posted months ago).
Buy 50 shares XYZ at $52
Short 1 call XYZ $50 , credit collect $4.9
The reason because the account is an IRA and can not short a naked call.

Sure, but realize you're be long a straddled backspread which behaves as a fly (in this example) with extra wing prot.

Say you buy the 45/55 outside wings for 3.5. You would own the fly for a risk of $0.7 (4.3 cr). Short the call for 4.9, implied put is 2.9, less wings at 3.5. I am treating this as a one lot bc the wing purchase is double what is needed if you're trading a mini straddle.

You're in a half straddle + one lot wings, or straddled long backspreads. It's best to go further out on wings if trading the mini to reduce the wing impact on the mini's credit.

 

[zghorner]

Read this thread today and I really appreciate you doing this, thanks.

 

[themickey]

I have a neighbor who duck hunts with a Rungu. It's got two front wheels via linkage.

I discovered this little beast when reading a newspaper article about scout bikes for the military....
Thought to post it here as we were discussing e-bikes a while back.
https://stealthelectricbikes.com/stealth-b-52/