Another massive drop in the market today...
Seeing many of the stocks already losing well over 50% of their value makes me think that the predictions, that were floating around for the past 5 years, might be correct: we might see a fall greater than ever.
Greater than the GFC.
That's insane.
Look at the steepness of the current bear market compared to the GFC. If this trend keeps going on for as long as the GFC lasted then... (I let you think about it)
Nevertheless, I am committed to make one new trade a day and my trade for today is #AMD (#AdvancedMicroDevices). This stock has certainly seen much better days before it lost over 35% of its value. I decided to go with a very wide strangle, which gives me a 90% probability to succeed.
The stats
Trade Type: Short Strangle
Strike: $60 / 110
Expiry: 15 Jul
Delta: 2.3
IV Rank: 73.7
Premium: $0.77
Cap Req: $822
Annualised Prof at Expiry: 118%
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.
https://www.tycoonitos.com/community/market-comments/market-comments-20220606
https://www.tycoonitos.com/community/market-comments/market-comments-20220524
Let me know your thoughts.
Another beautiful winner!
Closed at $0.39 for an annualised profit of 337%.