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

With MSFT down only 2% after earnings – far less than option prices predicted - our portfolio is having a great day. However, delta has gotten uncomfortably high, so we will start lowering a few strikes while resuming our usual four-week rollout. We will also begin extending our longs to November:

BTC 1 MSFT 24Jul20 215 put (MSFT200724P215)
STO 1 MSFT 21Aug20 207.5 put (MSFT200821P207.5) for a credit of $0.01 (selling a diagonal)

BTC 2 MSFT 24Jul20 217.5 calls (MSFT200724C217.5)
STO 2 MSFT 21Aug20 210 calls (MSFT200821C210) for a credit of $6.10 (selling a diagonal)

BTC 3 MSFT 24Jul20 215 calls (MSFT200724C215)
STO 3 MSFT 21Aug20 207.5 calls (MSFT200821C207.5) for a credit of $7.15 (selling a diagonal)

BTO 2 MSFT 20Nov20 210 calls (MSFT201120C210)
STC 2 MSFT 16Oct20 220 calls (MSFT201016C220) for a debit of $7.70 (buying a diagonal)

BTO 2 MSFT 20Nov20 210 calls (MSFT201120C210)
STC 2 MSFT 16Oct20 215 calls (MSFT201016C215) for a debit of $5.70 (buying a diagonal)


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

Happy trading.

Terry