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2019 Trades

ewz: 12.24.18 – 02.27.19

ETF | Brazilian Equities | Status: Closed

Adjustment #4

View original trade
01.30.19
I hate to
this position further, especially after such a dramatic rally, but today's sudden explosion leaves me no choice. To put things in perspective, EWZ has rallied 20% since I put this trade on a month ago – an incredible move. By
my
up, I am giving up some profit potential, but pushing my
up above the current price of the
I received $0.67 which gives me a total credit of $5.21. Subtract the $4 inversion, and that leaves me with a profit potential of $1.21. I still need EWZ to decline in price, but now I don't need such an extreme move and I have a little more room to be wrong. If the price falls back down to the center of my
I will re-evaluate the position and consider uninverting.

Risk Profile:

(Not to scale)
Figure 5

Strategy: Roll Up Put

btc 1 mar 15 42 put
sto 1 mar 15 44 put
Fill Price: $0.67 credit

Position Analysis

U/L Price: $44.42
IV: 33.3%
IVR: 19.5
Liquidity: 4/4
Position: Inverted 40/44 Strangle
POP: 45%
Cost Basis: $5.21
Risk: Undefined
BPR: $900
Max Profit: $1.21
Max Loss: Unlimited
Target P/L: Scratch
Break Even(s): $38.79, $45.21
Extrinsic Value: $232.00
Net Delta: -36.27
Net Theta: 3.940

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2019 Trades
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