... for a 14.10 debit.
Comments: Well, there's my "more than a buck." Total credits collected of 15.64. Closing out here for 14.10 results in a realized gain of 1.54 ($154) with 14 days to go.
Here's the blow by blow:
Opened: QQQ April 22nd 290/361 for a 5.85 credit.
Rolled: QQQ April 22nd 290 Short Put to the April 22nd 341 for a 3.95 credit. (Defensive roll, cutting net delta in half).
Rolled: QQQ April 22nd 341 Short Put to the April 22nd 348 for a 1.15 credit. (Defensive roll, cutting net delta in half).
Rolled: QQQ April 22nd 348 Short Put to the April 22nd 356 for a 1.95 credit. (Defensive roll, cutting net delta in half).
Rolled: QQQ April 22nd 361 Short Call to the April 22nd 354 for 2.74 credit. (Defensive roll, cutting net delta in half).
As you can see in 20-20 hindsight, I probably could've just left the original setup alone and been better off. The April 22nd 290/361 -- the original, unadjusted setup -- is marking at 2.88 at the moment, so I would've hit 50% max at some point. That being said, I generally operate on the assumption that you never know if the position will continue to move against you or not and that it's best to adjust sooner than later.
Comments: Well, there's my "more than a buck." Total credits collected of 15.64. Closing out here for 14.10 results in a realized gain of 1.54 ($154) with 14 days to go.
Here's the blow by blow:
Opened: QQQ April 22nd 290/361 for a 5.85 credit.
Rolled: QQQ April 22nd 290 Short Put to the April 22nd 341 for a 3.95 credit. (Defensive roll, cutting net delta in half).
Rolled: QQQ April 22nd 341 Short Put to the April 22nd 348 for a 1.15 credit. (Defensive roll, cutting net delta in half).
Rolled: QQQ April 22nd 348 Short Put to the April 22nd 356 for a 1.95 credit. (Defensive roll, cutting net delta in half).
Rolled: QQQ April 22nd 361 Short Call to the April 22nd 354 for 2.74 credit. (Defensive roll, cutting net delta in half).
As you can see in 20-20 hindsight, I probably could've just left the original setup alone and been better off. The April 22nd 290/361 -- the original, unadjusted setup -- is marking at 2.88 at the moment, so I would've hit 50% max at some point. That being said, I generally operate on the assumption that you never know if the position will continue to move against you or not and that it's best to adjust sooner than later.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.