For those of you, who follow my posts, you most likely noticed that I changed this channel to 'Daily Trades' from 'Market Comments' as I feel that the new title reflects the topic more.
It was a very eventful trading day at the market with the market opening 2.7% higher than the close of the previous day but then it dropped a fair bit and finished up at 0.74%. The CPI data is going to be released tomorrow so the market is obviously antsy.
For those, who are new to my daily market comments, I place and document one trade a day with the objective of helping everyone learn how to trade options.
What's my trade for today?
#COIN (#Coinbase). I closed the exact same position from 2 weeks ago today at open due to the sudden spike in price and considering that the price dropped to a new low I thought I try my luck again with a $30 put option.
The stats
Trade Type: Short Put
Strike: $30
Expiry: 20 Jan
Delta: 19
IV Rank: 32.1
Premium: $1.77
Cap Req: $1061
Annualised Prof at Expiry: 122%
IMPORTANT: Studying previous trades provide the opportunity to everyone to learn a great deal so I encourage you to click on the links below and digest the info.
Closed:
https://www.tycoonitos.com/community/market-comments/market-comments-20221201
https://www.tycoonitos.com/community/market-comments/market-comments-20221206
https://www.tycoonitos.com/community/market-comments/market-comments-20221207
https://www.tycoonitos.com/community/market-comments/market-comments-20221208
Rolled:
https://www.tycoonitos.com/community/market-comments/market-comments-20220520
https://www.tycoonitos.com/community/market-comments/market-comments-20220421
Let me know what you think.
Nice winner!
Closed at $1.20 for an annualised profit of 115%.
I could have hold it for longer but January can be funny so I wanted to reduce my risk.