January 10, 2020 Terry’s Tips Trade Alert #3 – Rising Tide Portfolio

     

We can use our excess cash to lower strikes and add a put calendar to lower delta:
 

BTC 2 COST 17Jan20 300 puts (COST200117P300)
STO 2 COST 17Jan20 297.5 puts (COST200117P297.5) for a debit of $1.60 (buying a vertical)

BTC 1 COST 17Jan20 300 put (COST200117P300)
STO 1 COST 17Jan20 295 put (COST200117P295) for a debit of $2.70 (buying a vertical)

BTO 1 COST 28Feb20 292.5 put (COST200228P292.5)
STO 1 COST 17Jan20 292.5 put (COST200117P292.5) for a debit of $3.85 (buying a calendar)


Be prepared to change this (these) price limit(s) by $.05 or more in order to get an execution

 

Happy trading.

Terry