Dest's Everything Journal

Discussion in 'Journals' started by destriero, May 1, 2019.

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  1. speedo

    speedo

    You got your inside day Dest
     
    #161     May 30, 2019
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  2. destriero

    destriero

    Hehe. Yeah, it was a good day. UBER trade will open at $3 if the shares are below $41.
     
    #162     May 30, 2019
  3. destriero

    destriero


    It will depend on where we open. I am inclined to hold it as I’ve only got 50 of these. I’d cover in the first 30 minutes if you can score a fill at 3.2 or better.
     
    #163     May 30, 2019
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  4. destriero

    destriero


    It’s 3.65 mid right now. A double on the UBER fly.
     
    #164     May 31, 2019
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  5. Magic

    Magic

    Yeah, that was a great. I just put in order @ 3.45 right after open and got filled 10 mins in or something. Jumped the gun just slightly, I think I'll get a better feel for exits after more experience with these types of trades.

    I didn't take a good look at the vol surface when we opened this; do you typically stagger the strikes toward where ever the higher skew is for assym flies?

    Noticed on this one the breakeven range was around same as the implied move for the trade duration (140% IV / sqrt(252) / 1.5 days = 13%; about ~$5 range in $$, is that a good rule of thumb for width?
     
    #165     May 31, 2019
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  6. destriero

    destriero

    It just hit 4.00 mid.
     
    #166     May 31, 2019
  7. destriero

    destriero

    I can't get into why I chose the structure. Local vol is so tight on SN that you're not going to gain more than a nickel in edge.
     
    #167     May 31, 2019
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  8. Doobs789

    Doobs789

    Greeks, vols, skew, etc don't mean jack this close to exp. You are approaching the event horizon ha

    ceteris paribus, it'll try to pin 40. Micro-structure is the driver now.
     
    #168     May 31, 2019
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  9. destriero

    destriero

    I shorted 5K UBER shares to cover the exercise. An effective cover at 3.9.
     
    #169     May 31, 2019
  10. Overnight

    Overnight

    I have no idea what yer doing in options, but I like the Uber short idea. How does a taxi company lose over a billion dollars a year and stay in business?
     
    #170     May 31, 2019
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