Im sure you have,perhaps without intent Its really not complcated and you can easily eyeball it and ballpark the bias.. You just have to hope that Mr Sticky Delta prevails,and that "bitch" Sticky Strike doesnt rear its ugly head....Massive Buzzkill when that happens
Opened this today anticipating a slight fall in oil price this week, then watched it drop USD2! Trade date: 03 August 2021 Security: CL Price at opening: 71.62 Direction: Put Expiry date: 06 August 2021 Strikes: 69.5 / 71.25 / 73 Structure: 1 / 2 / 1 Opening Spread: 0.46 Trade date: 03 August 2021 Security: NET Price at opening: 119.09 Direction: Put Expiry date: 06 August 2021 Strikes: 109 / 114 / 119 Structure: 1 / 2 / 1 Opening Spread: 0.91
Yep; about 1 in 10 trades are unbalanced - although all those posted here to date are not. Relevant as the FTSE trade today should have been 2/3/1 6775/6800/6850 but my model had a glitch and I didn't have time to sort it out, so placed a balanced 1/2/1 instead.
Good question / observation. The answer is legacy, and that I have a long position in NET so have occasionally popped a Put Fly to capture upside when I expect price to drop back. This trade wasn't a good one so I closed it today. I'll try not to add NET trades to the journal in future. The stocks that I screen for on a daily basis for this type of trade are ADBE, NFLX, TSLA et al.
Shorted FTSE with this today. Per #16 it should have been an unbalanced 2/3/1 structure. Trade date: 04 August 2021 Security: FTSE Price at opening: 7067 Direction: Put Expiry date: 20 August 2021 Strikes: 6825 / 6800 / 6775 Structure: 1 / 2 / 1 Opening Spread: 1.00
Change of sentiment on this one, so closed it at a small loss. Trade date: 03 August 2021 Security: NET Price at opening: 119.09 Direction: Put Expiry date: 06 August 2021 Strikes: 109 / 114 / 119 Structure: 1 / 2 / 1 Opening Spread: 0.91 Close date: 04 August 2021 Trade duration: 1 Closing spread: 0.70 Profit / (Loss) -0.21 Profit / (Loss) -23.1%
@Global OptionsTrades , you realise that NET is reporting earnings after close tomorrow (Thur)? So, it's just as well that you closed the trade today.