AAPL weekly - 3/20 expiry 300 strike PUTS

2020年1月29日

Today these puts cost $3.30 (as I write this) with 52 days until expiration.
I am opening a small position since principal will be tied up for a while, and risk could be high.
RSI has touched 90 on the weekly chart.
Exit loss planning: 1) stock trade over today's high 2) stock trade over 330 in next 2 weeks 3)option value below a set value, depending on your loss tolerance 4) indicators no longer support trade plan
There can be multiple profit exit targets, based on daily chart: 1) stock at 310 2) stock at 10sma, then 20sma 3) stock in gap below 305
On weekly chart the 10 and 20 sma's are both below 300
Sample profit - If stock is 310 in 2 weeks, option value is around $7.60, a 100% gain.

2020年1月31日

交易進行

With options, I am happy to take a high return on principal in short time. Putting in a limit order to close at $7 today if stock comes down to daily 20sma.

2020年1月31日

交易結束：目標達成

Position closed at $7. Over 100% gain.
Stock might drop lower (usually Monday follows Friday's action) but I don't have to "sit through" theta decay or IV drop now.
Trade happy, not greedy!