Conservative option strategies, what did you buy or sell today?

[fenders53]

Rolled my DG put forward. Sold an AUG 14 strike 190 last week for $1.74. Just bought it back 7 days later for a dime. Sold a new 190 with an AUG 28 expiration for $3.40. This one is pandemic proof so I wouldn't mind getting forced into some shares when my income game luck runs out. Should have done this months ago. DG is too obvious. Even pays a small dividend with a good growth rate.

[vbin]

I sold a csco put strike $40 for change expiring mid September. And some Teva puts.

[fenders53]

Got exercised on my ADM covered call. Made about $1500 since March but left $300 on the table when it ran. Got tired of rolling it forward. I like ADM long-term but not up here.

Sold a ROKU covered call 157 strike expires in 10 days. Premiums are stupid good. May regret it if it runs but I would leave with a real decent profit for the short time I have held it.

Sold my FSLY shares (at a loss) and immediately sold a covered put. I'll be sad if it flies but I think it is taking a breather until we get closer to next earnings. The option income is just too tempting and I can insulate myself some from a modest drop. The thought process on this one is a little sketchy. I like FSLY longer term. Just over-valued.

I sold a CSCO SEP put last week as well. Just one. Not willing to get deep in CSCO until they turn it around to a growth story.

[fenders53]

And please wish for DE to drop $5 sometime in the next 10 days. I always brag I am undefeated shorting DE but this one isn't going well. Had to happen someday lol. I am protected from here so it doesn't matter if it runs another hundred points higher. I should probably short it again from here but I don't want to be stubborn and fight the tape.

[fenders53]

VBIN, what ETF do you use to play VIX options. I am ready but don't want to jump into a fund with bizarre leveraging practices.

[vbin]

(08-18-2020, 10:42 AM)fenders53 Wrote: VBIN, what ETF do you use to play VIX options. I am ready but don't want to jump into a fund with bizarre leveraging practices.

I have tried a little bit VIX twice and both time lost money so not touching it again.


Sold a Roku put $138 strike, expiring next week.

[fenders53]

(08-19-2020, 09:21 AM)vbin Wrote:

(08-18-2020, 10:42 AM)fenders53 Wrote: VBIN, what ETF do you use to play VIX options. I am ready but don't want to jump into a fund with bizarre leveraging practices.

I have tried a little bit VIX twice and both time lost money so not touching it again.


Sold a Roku put $138 strike, expiring next week.

Did you play it after the March crash expecting further levels of Armageddon?  I lost some money buying protective puts around that time.  Did you actually trade the symbol VIX?

[vbin]

(08-19-2020, 12:32 PM)fenders53 Wrote:

(08-19-2020, 09:21 AM)vbin Wrote:

(08-18-2020, 10:42 AM)fenders53 Wrote: VBIN, what ETF do you use to play VIX options. I am ready but don't want to jump into a fund with bizarre leveraging practices.

I have tried a little bit VIX twice and both time lost money so not touching it again.


Sold a Roku put $138 strike, expiring next week.

Did you play it after the March crash expecting further levels of Armageddon?  I lost some money buying protective puts around that time.  Did you actually trade the symbol VIX?

I traded it once straight out of school in 2008 based on what a friend from wallstreet told me. I got greedy and kept buying even after he told me to sell and run, lol. Dint have any clue what the hell it was. Straight gambling.


Second this year after March, bought couple of puts on VXX.

[fenders53]

(08-19-2020, 12:36 PM)vbin Wrote:

(08-19-2020, 12:32 PM)fenders53 Wrote:

(08-19-2020, 09:21 AM)vbin Wrote:

(08-18-2020, 10:42 AM)fenders53 Wrote: VBIN, what ETF do you use to play VIX options. I am ready but don't want to jump into a fund with bizarre leveraging practices.

I have tried a little bit VIX twice and both time lost money so not touching it again.


Sold a Roku put $138 strike, expiring next week.

Did you play it after the March crash expecting further levels of Armageddon?  I lost some money buying protective puts around that time.  Did you actually trade the symbol VIX?

I traded it once straight out of school in 2008 based on what a friend from wallstreet told me. I got greedy and kept buying even after he told me to sell and run, lol. Dint have any clue what the hell it was. Straight gambling.


Second this year after March, bought couple of puts on VXX.

Thanks.  I tend to do the inverse of things.    I may sell a few puts OTM.  VIX is low and it's hard to imagine the market gets any tamer than this.  I try to have a few things I consider a hedge most of the time.  I stay invested so when I am wrong worst case I handcuff my overall gains a little.  I'm not bold enough to ever make a huge bet the market will go down any given month.  That's a fool's errand.  If you do it often enough you will lose in the end.

[crimsonghost747]

selling OTM puts for VIX does seem like a doable thing. I think I'll also look into that.

UI could also present some nice put possibilities today. In general the premiums are nice and big and it's down several percentages in premarket. It's one of those companies that takes a regular beating for some unknown reason but never stays down for long.

[NilesMike]

The only 2 ways that I have been able to profitably trade VIX options is

1) Buy a 60+DTE call when VIX trades below prior month's low. You will get a pop or at worst lose a little bit.

2) When VIX trades 12.50-13.50 buy a call with 6 months expiration. You will get a good pop.

If you OTM put becomes ITM, look out.

YMMV

[crimsonghost747]

(08-21-2020, 08:32 AM)NilesMike Wrote: If you OTM put becomes ITM, look out.

Any particular reason for this? 
Has it been difficult to roll them forward if it ends up ITM close to expiration?
I've never traded it before but it does look to pop up on a regular basis, so rolling forward would logically give you a tiny bit more cash and more time to wait for that pop.