April 23, 2020 Terry’s Tips Trade Alert – Wiley Wolf Portfolio

We have become negative net delta. MSFT reports earnings next week, so we will be rolling out to the May 1 expiration to take advantage of higher premiums and raise delta. We can start now by rolling out short options with little remaining time value:
 
BTC 2 MSFT 24Apr20 165 calls (MSFT200424C165)
STO 2 MSFT 01May20 175 calls (MSFT200501C175) for a debit of $4.00 (selling a diagonal)

BTO 2 MSFT 18Sep20 175 calls (MSFT200918C175)
STC 2 MSFT 18Sep20 165 calls (MSFT200918C165) for a credit of $5.30 (selling a vertical)

BTC 2 MSFT 24Apr20 165 puts (MSFT200424P165)
STO 2 MSFT 01May20 170 puts (MSFT200501P170) for a credit of $3.60 (selling a diagonal)

BTO 2 MSFT 18Sep20 175 puts (MSFT200918P175)
STC 2 MSFT 18Sep20 165 puts (MSFT200918P165) for a debit of $4.60 (buying a vertical)

BTC 2 MSFT 24Apr20 167.5 puts (MSFT200424P167.5)
STO 2 MSFT 01May20 172.5 puts (MSFT200501P172.5) for a credit of $4.60 (selling a diagonal)


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

Happy trading.

Terry