This blog site aims to provide updates on the status of the Go888Go Investment Fund. Some of the key trades and strategies used will be posted periodically.
Just about to went to bed last night and heard from CNBC news that Citi brought forward their earning announcement from 22-Jan to 16-Jan (before market open) i.e. on option Expiry FRIDAY !! That sucks...... what a timing.
As we do not trade through earning period, quickly close (BTO) all Jan-C-PUT positions. Collected $130 profit instead of $1,040 planned. And can sleep well not having to worry about Citi earning announcement next day (was prepared to take small losses and get out if needed).
VERTICAL SPREAD i.e. Bull-PUT-spread and Bear-CALL-spread. The trade is setup by selling an out-of-the-money PUT (or CALL) and simultaneously buying a further-out-of-the-money PUT (or CALL). CALENDAR SPREAD This is setup by buying one option of a given strike price and expiration month and simultaneously writing an option with the same strike price but a different expiration month that has less time until expiration than the option you bought.
The trade is setup by buying an out-of-the-money CALL and simultaneously selling an out-ofthe-money PUT.
RATIO SPREAD The trade is setup by buying one at-the-money CALL and simultaneously selling two out-of-the-money CALL. STRADDLE (and STRANGLE) Buying a Straddle involves buying a CALL and a PUT of the same strike price simultaneously. Buying a Strangle involves buying a CALL and a PUT with different strike prices simultaneously. CLICK here for more detail uses of the various Option Strategies ===> CLICK ME
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