Blood on the street. And loads of it...
The below chart shows how severe today's fall was. We have just witnessed a move that that was nearly as large as the one during the Covid shut down. But there is a huge difference: during Covid businesses were forced to close doors. Today, businesses operate 'as normal' (what is normal?).
But astute traders know that when there is blood on the street than there are opportunities everywhere you look.
So what's my trade for today?
#AAPL ( #Apple ). Do I need to introduce the company? I don't think so. What's noteworthy though is that the volatility is very high because of the overall market conditions. Earnings is already behind us so it's perfect for a wide strangle.
Trade Type: Short Strangle
Strike: $135 / 180
Expiry: 17 Jun
IV Rank: 69.5
Cap Req: $1568
Annualised Prof at Expiry: 139%
I must say it's quite fun to keep chasing the stock prices when in the end it all turns profitable.
Let me know your thoughts.
Another nice winner!
Closed at $3.35 for an annualised profit of 154%.
Frankly speaking, I probably could have stayed in this trade for a bit longer but I had too many open trades and wanted to de-risk my portfolio a bit.
Rolled down the call side to $160.
Total credit: $4.41
Rolled down the call side to $165.
Total credit: $3.78
Rolled down the call side to $175.
Total credit: $2.92