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closed Positions

xbi: 01.31.20 – 03.19.20

ETF | Biotech Fund | Status: Closed

Closing Trade

View original trade
03.19.20
This poor trade never worked for a single moment. It's actually kind of hilarious how badly this failed. As soon as I put it on, which was waaay back in freakin' January, XBI rallied like a bat outta hell and became a max loser to the upside. I'd given up on this thing almost immediately. Then the market started to collapse near the end of February. I thought I might, by some miracle, have a fighting chance of hitting my profit target or even better! NOPE.
expanded so much that, even a month after establishment and the share price centered between my
this thing was still a loser. If you look at the opening trade, IV was down at 30% which was 56% higher than it had traded in the past year, according to the
Now, at closing time, IV is 120% - 4x higher! I stood no chance. XBI continued to plummet along with the rest of the market, and became a max loser to the downside.
I have never seen a
quite like this one. I held this sucker to the absolute end, and came up empty handed. I had a chance to
but I was stubborn and didn't want to wait another two months to hope this thing would work. I decided if it wasn't profitable by March
that I'd be happy to be done with it. Luckily it was a
or I might be down an extra $2000 by now. I knew the product was too big for me to trade
and I was right. With the losses I've taken in my other positions, it was nice to not have to worry about this one. Happy to have this garbage finally out of my site XX
PS- You might have noticed I did not close the
101
It was so far
that it was completely worthless. There's not a soul in the world that would buy it, so leaving it out allowed the rest of my order to
There is no risk in keeping it, and closing the other
allows me to avoid
and
fees.

Risk Profile:

(Not to scale)
Figure 2

Strategy: Close Position

stc 1 mar 20 77 put
btc 1 mar 20 82 put
btc 1 mar 20 96 call
Fill Price: $5.00 debit

Position Analysis

U/L Price: $69.19
IV: 120.4%
IVR: 85.7
Liquidity: 4/4
Final P/L: $3.35 Loss

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