January 11, 2019 Terry’s Tips Trade Alert #2 – Rising Tide  Portfolio

These will continue the rolling-over process and get us more neutral net delta as well as getting two spreads at strikes below the stock price into puts rather than calls (deep in-the-money short calls are at risk of being assigned):

BTC 1 IWM 11Jan19 140 call (IWM190111C140)
STC 1 IWM 29Mar19 140 call (IWM190329C140) for a credit of $4.65 (selling a calendar)

BTO 1 IWM 29Mar19 140 put (IWM190329P140)
STO 1 IWM 18Jan19 140 put (IWM190118P140) for a debit of $3.78 (buying a calendar)

BTC 1 IWM 18Jan19 137 call (IWM190118C137)
STC 1 IWM 29Mar19 137 call (IWM190329C137) for a credit of $3.44 (selling a calendar)

BTO 1 IWM 29Mar19 138 put (IWM190329P138)
STO 1 IWM 18Jan19 138 put (IWM190118P138) for a debit of $3.43 (buying a calendar)

Be prepared to change these price limits by $.05 or more in order to get an execution.

Happy trading.

Terry