Daily Trades 20230120

Another epic week: I was able to close 7 trades and all of them are with decent profits.

With a massive earnings week heading our way I am expecting a few exciting trades but often the 'boring' trades are the best ones as they are stable and still provide great return on investment (ROI).

Apart from a great win on my KMX trade from yesterday, I did a bunch of adjustments just to follow the flow of the market.

For those, who are new to my daily market comments, I place and document one of my options trades each day with the objective of helping everyone learn how to trade options.

What's my trade for today?

#W (#Wayfair) Feb $60 call. It was only yesterday when I closed my strangle after going from $44 to $39 but today the price almost hit $49 and stopped nearly at $47. When I see a large move like this then I tend to go for it with a naked option. The earnings is after the Feb expiration so I am very confident in this trade.

W Daily Chart

The stats

Trade Type: Short Call

Strike: $60

Expiry: 17 Feb

Delta: -21

IV Rank: 41.5

Premium: $1.26

Cap Req: $945

Annualised Prof at Expiration: 174%

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/daily-trades-20230119

Rolled:

https://www.tycoonitos.com/community/market-comments/market-comments-20220330

https://www.tycoonitos.com/community/market-comments/market-comments-20220802

https://www.tycoonitos.com/community/market-comments/market-comments-20220613

https://www.tycoonitos.com/community/market-comments/market-comments-20220524

https://www.tycoonitos.com/community/market-comments/market-comments-20220520

https://www.tycoonitos.com/community/market-comments/market-comments-20220421

https://www.tycoonitos.com/community/market-comments/daily-trades-20230117

Watch more detail here:

https://youtu.be/pqjjw--Bl_o