Quick note: First, we have Goldman reducing estimates for job report tomorrow from 275,000 to 200,000. Second, there is no question that Apple tends to "sell the news" kind of reaction when the new product hits the market. Lastly, yes call me an idiot with a broken record but I still believe that this market needs a good dose of constant positive news to keep the momentum up, otherwise the rug will be pulled out anytime.
Currently, we have May/April $240 call calendar that is working very nicely. I am doing the following hedge:
- Buy to open May $230 puts
- Sell to open April $230 puts
I just filled the order for $5.40 debit. This effectively converts the entire trade into double calendar spread with maximum profits coming anywhere between $230 and $240.
Good luck!
About Me
- Fahad Khalid
- Chicago, IL, United States
- I have Masters in Business (Accounting and Finance 2003) from Michigan State University. I have been trading the market since 1998. Prior to picking up trading as a full-time career in 2008, I was a management consultant at Alvarez & Marsal and Conway MacKenzie for four years. I provided turnaround, crisis management and restructuring services to financially distressed firms. Prior to working in turnaround, I worked in Audit & Assurance at Deloitte & Touche for two years. Trading in the market has always remained my side business ever since I started college. 90% of the time, I trade through options. I love volatility skews and positive Theta plays. While I make a lot of directional bets, in general my favorites are to take advantage of high implied volatilities through calendar or butterfly spreads and vertical credit spreads. I never buy straight calls or puts and I do a lot of exotic multi-leg option trades.
Visitor Locations
