WFMI earnings 11-4-09
Looking for 20% increase in IV
+1 Feb 33c 3.55
-1 Nov 33c 1.84
net debit of 1.71
placed limit order for 2.31 (35% ROI).
XLNX earnings 10-14-09
Looking for 20% decrease in IV
-1 Dec 26c 0.60
-1 Dec 21p 0.57
net credit 1.17
placed limit order to exit for 0.60 debit (15% return on margin).
My portfolio is +300 vega. With today's large move to the upside, but the VIX only moved -0.57%, there might be a +vega move if GS or BAC disappoint. It seems that though people were happy to buy this rally, they weren't dumping their protection. It's been frustrating for me because although I'm now +delta in my account, I'm still loosing money day-after-day: darn that theta and vega ;o)
Keep on trading.
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WFMI, oh what memories, and not good ones either. On August 4th stock was at $24.50, I sold a SEP 20/28 strangle for $1.28 credit, sucker gapped up and opened at $28.76 on the 5th. Got out at open for a 53% loss, tail between legs.
ReplyDeleteoh, no! I'm a little concerned now. I'll make sure to watch the after hours. Thanks Justin.
ReplyDeleteNo cause for concern, just get out before earnings. It looks as if you may need to roll up anyway, with the way it moved this week. Looks like XLNX stayed nicely in the zone, it's still at $1.00 ask so I assume you're still in. IV took a nice dive.
ReplyDeleteI didn't pay attention, you did a 33 calendar and the stock is still right there after that run up. Hopefully it will take a rest next week and stay in your zone. My calendars are all working out so far.
ReplyDelete