Buying Long Term: buying June monthly call strategy More like mid-term strategy 405 395 385 pB = put butterfly at .65
Posted: Wed May 05, 2021 11:29 am
Buying Long Term: buying June monthly call strategy
More like mid-term strategy
405 395 385 pB = put butterfly at .65 area 4.5X OVERSIZED, 10 buck max profit
390 380 370 pB at .36 same contract amount so about 2.5X OVERSIZED, 10 buck max profit
SPY has ben stuck at the 161.8% fib extension for now 15 days or so. At some point we shuld break bearishly or bullishly from here and see a more dramatic move.
Since we already have May monthly expire 405 415 425 cB same contract amount, we can afford to position further out in time since if we stay stuck here the may profits will start gaining dramatically . We would be happy to exit the may strategy at 5 buck area or 35x OVERSIZED value even though the unlikely max value would be twice as much, if premiums drop as to allow us the exit May’s.
This trade is one part of a larger strategy so please look back at Previous posts to see the whole picture. AND IF YOU ARE NEW, PAPER TRADE FOR AT LEAST A FEW MONTHS because this is ADVANCED OPTIONS TRADING !!
More like mid-term strategy
405 395 385 pB = put butterfly at .65 area 4.5X OVERSIZED, 10 buck max profit
390 380 370 pB at .36 same contract amount so about 2.5X OVERSIZED, 10 buck max profit
SPY has ben stuck at the 161.8% fib extension for now 15 days or so. At some point we shuld break bearishly or bullishly from here and see a more dramatic move.
Since we already have May monthly expire 405 415 425 cB same contract amount, we can afford to position further out in time since if we stay stuck here the may profits will start gaining dramatically . We would be happy to exit the may strategy at 5 buck area or 35x OVERSIZED value even though the unlikely max value would be twice as much, if premiums drop as to allow us the exit May’s.
This trade is one part of a larger strategy so please look back at Previous posts to see the whole picture. AND IF YOU ARE NEW, PAPER TRADE FOR AT LEAST A FEW MONTHS because this is ADVANCED OPTIONS TRADING !!