I know! My strangle is sub $4 now. I am going to be doing some intraday research on closing the positions. I am not too sure if you have taken a look at the screener today. But we have lots of selling to do! We can finally diversify enough to get some meaningful returns. I won't have anytime to post fills until later in the day. Let me know what you jump in. If anyone want's to take a stab at the optimal time to close these positions that would be greatly appreciated. No problem! Nice to have you join the team. Yea JPM/GS straddles were perfect today. Let us know if you find any alpha along the way.
This is exactly what I have been thinking for the past few weeks. I feel like all my trades are too correlated to the VIX but was not sure how to actually implement something like this. Would love to read more or learn from your posts or videos. Thanks for sharing.
BK is a great long vol opportunity. It usually out paces the implied move. Right away on my news feed I see some analysts giving a 60% rally in BK others are saying it's a value trap. There is a lot more detail if you have the time to read the reports. Main take away is, this report is important. Commercial banks are greatly impacted by interest rates and I am sure there will be plenty of tough questions during the conference call regarding the potential rate cut. I got filled at 1.68 for the Jul19 43 straddle. Your max loss on this trade in the morning is .70 cents. Great r:r
Just to check that I'm tracking here: BK's current IV%/IVR is 90/60 - but it's pretty much irrelevant because it's not going to drop until well after, so going long/long vol is essentially a pure delta play. Right?
IV% = IV percentile? I never use those numbers. Those numbers take into consideration non event vol. I am not to sure what you mean by delta bet. It is a vol bet. I bot the straddle so either a large move up or a large move down will benefit the position. Does that make sense? My UAL trade is a delta and vol bet
Gotcha, we call that a vol bet over here. Delta is when you have a directional assumption. LMK if you place any trades. GL
Delta bet typically refers to one direction. A large up/down move in vol would refer to a "gamma bet"