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2019 Trades

KRE: 11.05.19 – 11.13.19

ETF | Banking Fund | Status: Closed

Opening Trade

11.05.19
This morning, shortly after the open, I sold a DEC 53/60
in KRE. It appeared that the
was elevated (around 27%) and had a
of almost 30. Later in the day, however, those numbers dropped significantly to a 23% IV and a 16 rank. I think something must have been off in the morning numbers. Oh well... Honestly, I needed some new trades anyways. This trade is small, and at least gives me some much needed
decay.
If the
gets tested, that will hopefully come with opportunities in the broader market. If the market continues to drive higher I'm hoping to make money off of further volatility contraction and the passage of time. Targeting around $0.52 which is about 50% of total max profit. Considering how low volatility is, though, I might decide to take it off for even less than that.

Risk Profile:

Figure 1

Strategy: Short DEC 53/60 Strangle

sto 1 dec 20 53 put
sto 1 dec 20 60 call
Fill Price: $1.05 credit

Position Analysis

U/L Price: $56.97
IV: 27.3%
IVR: 29.7
Liquidity: 4/4
Position: Short DEC 53/60 Strangle
POP: 60%
Cost Basis: $1.05
Risk: Undefined
BPR: $840
Max Profit: $1.05
Max Loss: Unlimited
Target P/L: $0.52
Break Even(s): $51.95, $61.05
Extrinsic Value: $105.00
Net Delta: -3.39
Net Theta: 2.728

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2019 Trades
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