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Selling Puts in TLRY

Tilray (TLRY) is scheduled to release earnings on August 10. The stock price has dropped precipitously during this past year and the options are rich in premium so I am selling puts. The volatility component of the options should decrease after earnings so my plan is to buy back the…

August 5, 2020·

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Closing ·

Closing the Amazon Put Spread for a $2,280 Profit

I am closing this defined risk bullish trade in Amazon. AMZN’s share price rose on a positive earnings release enabling the closure of this position for a $2,280 profit per 10 lot. Bought AMZN Aug 28 -2900P+2890P for a debit of $2.77.

August 1, 2020·

Buying FPX Nickel (FPX)

FPX Nickel (FPX) is a junior nickel mining company developing the Decar Nickel District in central British Columbia. This company is already one of my largest holdings, but I am buying another tranche during the share price pullback today. I will consider it an opening position in keeping with the…

July 30, 2020·

Selling a Corn Put

Corn has a higher volatility ranking component to its options than wheat or soybean and it is the most beaten up in price. I am selling a put to take advantage of that volatility with expectations that the price of corn will find a bid. I will keep rolling if…

July 29, 2020·

Selling an Unbalanced Iron Fly in GDXJ

I am interested in adding more extrinsic value to my portfolio so I am putting on this position that will benefit from time and possibly volatility decay. This unbalanced iron fly can only become a loser if the gold complex continues to climb so it is a decent hedge to…

July 22, 2020·

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Closing ·

Closing the NOB Spread for $281 Profit in One Day

I am closing the Notes Over Bonds spread. The spread reverted resulting in a quick profit. Bought /ZB Sep 179′ 20 and sold 2 x /ZN Sep 139′ 10.

July 18, 2020·

Trade ·
Opening ·

Adding a Bullish Put Spread in Amazon

I am adding a defined risk bullish trade in Amazon in anticipation of its upcoming earnings release. The stock has pulled back some in recent days so I am playing for a bounce. The maximum loss is limited to the width of the strike minus the credit received ($495 per…

July 16, 2020·

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Opening ·

Putting on a NOB Spread

The Notes Over Bonds spread has widened out again so I am going to put it on as a trade. Sold /ZB Sep 180′ 12 and bought 2 x /ZN Sep 139′ 175.

July 16, 2020·

Trade ·
Closing ·

Closing Out the Corn Strangle for $200 Profit per Contract

I am taking off the corn strangle after two weeks for a profit of $200 per contract. The price of corn hung out at the lower boundary of this strangle for most of the trade, but enough time passed and volatility dropped a tad to make it a winner. Bought…

July 16, 2020·

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Closing ·

Closing the Euronav Puts for $1,130 Profit per 10 Lot

I am closing the EURN puts to lock in about half of the credit collected by selling and rolling these puts during the past couple of months. I am still bullish on tankers and have plenty of exposure remaining. Since the volatility of tanker options has been dropping, it makes…

July 15, 2020·

Trade ·
Closing ·

Closing the Silver Put for a $935 Profit per Contract

Silver had a decent rise in price so I am buying back the silver put. I still like silver and would consider selling a put again with a rise in volatility and/or drop in the price of silver. Bought /SI Aug 18.65P for a 0.672 debit.

July 9, 2020·

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Closing ·

Closing the Crude Strangle

The rising price of crude made this trade a loser from the start. I am pleased to be able to scratch it. Commodity prices have been rising as the value of the US dollar has been dropping. Being able to break even when the price of crude shot up above…

July 9, 2020·

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Closing ·

Closing the Wheat Trade for a $300 Profit per Contract

Wheat prices jumped almost immediately so I am taking profits of $300 per contract in one day. Bought /ZW Aug 490P for a 7.875 debit.

July 8, 2020·

Trade ·
Opening ·

Going Long Silver

I want to add to my precious metals exposure. I have plenty of gold exposure already so it’s time to add more silver. Finding quality exposure to equities is more difficult for silver compared to gold. There are few solid silver stocks on the market. So I am going to…

July 7, 2020·

Trade ·
Opening ·

Selling a Wheat Put

Wheat has a high volatility component to its options. I am selling a put to take advantage of that volatility with expectations that the price of Wheat will not decline drastically from here. Commodities are finding a bid with pressure on the US dollar which is a great backdrop for…

July 7, 2020·

Trade ·
Opening ·

Selling a Corn Strangle

Corn’s volatility is providing an opportunity to sell rich options. I am selling strikes that are equidistant from being at the money so there is no directional bet. I just need time to pass and/or volatility to decrease to make some money on this trade (and the corn price not…

July 1, 2020·

Trade ·
Adjusting ·

Rolling Euronav Puts to August

I am rolling the Euronav (EURN) puts to August to collect an extra $0.18 of premium. Sold EURN Aug 10 Put for a total credit of 2.23.

June 30, 2020·

Trade ·
Closing ·

Closing Out the Natural Gas Position for $200 Profit per Contract

A small rebound in the price of natural gas is providing an opportunity to take a quick profit of $200 per contract. My rule of thumb is to take the trade off if it shows a quick and reasonable profit. Bought /NG Jul 1.5 P for a debit of 0.086.

June 28, 2020·

Adding Another Tranche of Scorpio Tankers (STNG)

I am adding a third tranche of Scorpio Tankers (STNG) as its share price has continued to fall. Scorpio has made a lot of cash so far this year which is not being reflected in its share price. This company, along with most tanker stocks, seems to be trading on spot…

June 26, 2020·

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Closing ·

Silver Iron Condor Closed Out for a Loss of $575 per Contract

The iron condor in silver closed out for a loss of $575 per contract. Iron condors are defined risk trades. Their advantages include knowing the maximum possible loss at order entry and requiring less buying power reduction than undefined risk trades. Many traders like those attributes, but there are drawbacks.…

June 26, 2020·

Trade ·
Opening ·

Taking a Long Position on Natural Gas

Natural gas prices have been decimated. There are plenty of narratives to explain it including seasonal weakness, greater supply due to additional oil production as crude prices rise, etc. None of that matters to me. I am betting on a mean reversion and I will sell options to express my…

June 25, 2020·

Trade ·
Adjusting ·

Going Defensive on the Crude Trade

Crude prices remain strong so I am taking a defensive posture by rolling the short call to August as well as selling an August put. I am moving up the strike price on the call to increase the probability of making money on this trade. Undefined risk trades such as…

June 23, 2020·

Trade ·
Adjusting ·

Buying Back the Crude Put

Crude has run up past $40 now so I am buying back the put for an $0.80 debit. It will be interesting trying to make money on this position if crude holds above $40. The new position is Sold /CL Jul 35C for a $4.64 credit.

June 19, 2020·

Trade ·
Adjusting ·

Converting the Crude Oil Strangle into a Straddle

I am changing the strikes on the crude oil strangle to convert it into a $35 straddle. Rolling up the put and rolling down the call collects an additional $1.51 of credit. I will likely roll the straddle to August to add to the credit if we get a spike…

June 15, 2020·

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