Just realized I made $14.8k this morning

Just opened that Sprint Staddle myself. 5% pop will be sufficient to pick up gains; but a 10% pop will be very sexy. There is much more upside potential while their downside is capped out considering the recent news of them being brought out by a Japanese company at a generous evaluation.

So if we get a beat, $6 open tomorrow is reality.
 


So I watched Mgrunin's option videos and thought fuck it, I have no idea what he is talking about but I will put ~$4k on a Facebook straddle as he suggested (it sounded like a good idea to me).
Turned out well this morning ;)
(I bought 50 call options at 21 strike on Monday for around ~$0.42 and closed them at ~$2.95 today)

Maybe I should have kept them longer but I chickened out when the market opened ;)

Maybe y'll can be part of a documentary that President Obama might name ' Economic Progress During My Term'.

On second thought, who the fuck cares about how you made money? Man you made it so take your dick out on a 'detour' to virgin islands maybe!
 
ameyer, if you want to keep this thread interesting, see if you're comfortable with the following plays.

Sprint Staddle
Priceline Straddle.

Sprint does report tomorrow before market opens so if you do play it you'll need to get into it before market close today. November expiration. $6 calls; $5.50 puts. Try the play with $2,000.

Alright, I might give it a try :D
With Facebook, I actually understood the points you were making (mobile revenue, big questions after huge IPO, etc) so I understood that and thought it's a no-brainer to straddle (and it was).
For Sprint, it's the first time today that I actually looked at that stock, but I might blast another $1k or $2k on it ;)
Why are you not going for the Oct 26th expiration? Will it narrow too much tomorrow?
 
By the way, when straddeling, the amount of money should be equal, not the amount of options, right?
 
Alright I just opened a small Sprint position just for the entertainment of this thread ;)
 
The funds I had allocated for the straddle yesterday actually went into further accumulation of Apple options.

I have withdrawn a big bulk of my trading capital since I'm working on a different strategy. I'm currently reading books on selling options; instead of what I'm doing now - buying options. Once I feel comfortable enough being on the selling side I'll hop right back in full force. But as for right now I'm just holding a midterm position on Apple.

Edit: This isn't an recommendation for anyone to hop into Apple this moment. Wait for the earning release tomorrow aftermarket. Q1 will be gigantic for Apple.


What books are you reading on Selling Options?
 
The funds I had allocated for the straddle yesterday actually went into further accumulation of Apple options.

I have withdrawn a big bulk of my trading capital since I'm working on a different strategy. I'm currently reading books on selling options; instead of what I'm doing now - buying options. Once I feel comfortable enough being on the selling side I'll hop right back in full force. But as for right now I'm just holding a midterm position on Apple.

Edit: This isn't an recommendation for anyone to hop into Apple this moment. Wait for the earning release tomorrow aftermarket. Q1 will be gigantic for Apple.

Any vids/posts coming re: your new strategy selling options?
 
The funds I had allocated for the straddle yesterday actually went into further accumulation of Apple options.

I have withdrawn a big bulk of my trading capital since I'm working on a different strategy. I'm currently reading books on selling options; instead of what I'm doing now - buying options. Once I feel comfortable enough being on the selling side I'll hop right back in full force. But as for right now I'm just holding a midterm position on Apple.

Edit: This isn't an recommendation for anyone to hop into Apple this moment. Wait for the earning release tomorrow aftermarket. Q1 will be gigantic for Apple.

I don't think I would jump into APPL. They will have to have a blowout quarter to see the stock jump and if they don't crush the #s it's going down. The risk far outweighs the reward. :drinkup:
 
Books on selling commodity future options?

The funds I had allocated for the straddle yesterday actually went into further accumulation of Apple options.

I have withdrawn a big bulk of my trading capital since I'm working on a different strategy. I'm currently reading books on selling options; instead of what I'm doing now - buying options. Once I feel comfortable enough being on the selling side I'll hop right back in full force. But as for right now I'm just holding a midterm position on Apple.

Edit: This isn't an recommendation for anyone to hop into Apple this moment. Wait for the earning release tomorrow aftermarket. Q1 will be gigantic for Apple.
 
So, looks like Sprint was rather a fail? :D
Options expiring in Nov but I'm down $1k for sure.

Will jump on Priceline as well maybe!
 
What books are you reading on Selling Options?
Books on selling commodity future options?

I picked up the following [ame="http://www.amazon.com/Complete-Guide-Option-Selling/dp/0071442081/ref=sr_1_5?s=books&ie=UTF8&qid=1351170238&sr=1-5&keywords=selling+options"]book[/ame]. It's difficult to find the very best book out there on it but it's doing its job at the moment.

Any vids/posts coming re: your new strategy selling options?

Well I did a video on selling vertical spreads about 2 weeks. Ran into a hiccup though with that strategy since it requires a lot of capital to be held unless you run margin; which I would never do. So I'm revising that strategy a bit which sucks since that one had a 90% success rate week after week.

So, looks like Sprint was rather a fail? :D
Options expiring in Nov but I'm down $1k for sure.

Will jump on Priceline as well maybe!

They beat estimates but the pop isn't there yet. Only up 1.25%. I woudn't rule it out just yet though since we might see good movement once the markets open.

Keep in mind that you will not lose your full $1,000 if you close your options beforehand. You confused exercising options and closing them. If you wanted to excerise them then yes you would need to see the stock hit the strike price but that's not what we are after. You can sell your options back at any point so your loss with be a fraction of the $1,000.
 
I picked up the following book. It's difficult to find the very best book out there on it but it's doing its job at the moment.



Well I did a video on selling vertical spreads about 2 weeks. Ran into a hiccup though with that strategy since it requires a lot of capital to be held unless you run margin; which I would never do. So I'm revising that strategy a bit which sucks since that one had a 90% success rate week after week.



They beat estimates but the pop isn't there yet. Only up 1.25%. I woudn't rule it out just yet though since we might see good movement once the markets open.

Keep in mind that you will not lose your full $1,000 if you close your options beforehand. You confused exercising options and closing them. If you wanted to excerise them then yes you would need to see the stock hit the strike price but that's not what we are after. You can sell your options back at any point so your loss with be a fraction of the $1,000.


Please open a 'trading options' thread brah. I'm sure we got a lot to learn from the man himself --- mGrunin 'd magic' man:xmas-smiley-010:
 
Alright, well that is interesting. It even slipped into the red right now; but either way this price action is garbage on an earnings beat. Not that common.

Based on how much you put in I would have to say that you are currently looking at a $270 loss or so if you sold out of the positions right now. I personally would keep them for a bit longer and see if it can get on a trend since at this point your options already took the burden of an IV drop - which is basically the biggest thing to worry about during an earnings release.
 
Alright, well that is interesting. It even slipped into the red right now; but either way this price action is garbage on an earnings beat. Not that common.

Based on how much you put in I would have to say that you are currently looking at a $270 loss or so if you sold out of the positions right now. I personally would keep them for a bit longer and see if it can get on a trend since at this point your options already took the burden of an IV drop - which is basically the biggest thing to worry about during an earnings release.

Thanks for explaining.
Yes, there was quite some up and downs today, if that all had gone into the same direction there would be a 4-5% movement for sure.

Yes, no worries. I went in with around $2k in total (I had $1k in Oct 26 puts/calls and $1k in Nov 6 puts/calls), so I'm down $800 or so in total. I will just keep it and see what happens ;)

What do you think would be the most agressive and risky instrument?
For example, options on insane margin?
I would love to gamble a little with such things :D
 
Thanks for explaining.
Yes, there was quite some up and downs today, if that all had gone into the same direction there would be a 4-5% movement for sure.

Yes, no worries. I went in with around $2k in total (I had $1k in Oct 26 puts/calls and $1k in Nov 6 puts/calls), so I'm down $800 or so in total. I will just keep it and see what happens ;)

What do you think would be the most agressive and risky instrument?
For example, options on insane margin?
I would love to gamble a little with such things :D

Damn dude, that's not how you should have set it up. I did say to pick up November expiration in my post. My Sprint play actually went into the green by market's end.

I only put in $2,300 since I'm not looking at any serious trading till I start selling options. Either way, the positions are currently worth $2,445. Peasant gains but no loss. That comes out to a gain of 5% and I'm still holding the position. At this point the Call side is completely worthless at 1c so any more drops in Sprint will be full gains to my put position without my call position interfering with my gains.