The One-Day Wonder Trades – 03-28-19

Quick Take: One Day Wonder – Bullish Trade

Time Frame: One Day.

Underlying Stock: Bullish Market Edge Opinion – No Stock Position.

Desired Stock Price Direction: Up.

Option Position: Long Deferred ATM -1or -2 Call – Short Expiring ATM +1 or +2 Call.

Maximum Risk: Initial debit spread amount.

Summary: The stock performs as anticipated. The premium (air) is the short expiring call goes to zero while the long deferred call gains additional premium.

Quick Take: One Day Wonder – Bearish Trade

Time Frame: One Day.

Underlying Stock: Bearish Market Edge Opinion – No Stock Position.

Desired Stock Price Direction: Down.

Option Position: Long Deferred ATM +1 or +2 Put – Short Expiring ATM -1 or -2 Put.

Maximum Risk: Initial debit spread amount.

Summary: The stock performs as anticipated. The premium (air) in the short expiring put goes to zero while the long deferred put gains additional premium.

This Week’s One-Day Wonder Trades

Market Posture:		Neutral
Off-Strike Horizontal Bullish Trade
		Market	Open	Short Call	29-Mar
	Open	Edge	Stock	03/29/19	04/05/19	Debit	100%
Stock	Date	Opinion	Price	Strike Price	Strike Price	Spread	Target
ADBE	03/28/19	Bullish	$264.28	267.5	262.5	$4.55	$9.10
							$0.00
Off-Strike Horizontal Bearish Trade
		Market	Open	Short Put	Long Put
	Open	Edge	Stock	03/29/19	04/05/19	Debit	100%
Stock	Date	Opinion	Price	Strike Price	Strike Price	Spread	Target
DIS	03/28/19	Bearish	$111.24	110.0	112.0	$1.38	$2.76
				Track Record
Percent		Percent		# Of	# Of	NET %	Annual
Win Trades		Loss Trades		Trades	Weeks	P/L	ROI
65.5%		32.2%		82	43	10.8%	13.0%
Def Option  = Next Friday’s Expiration Serial
Exp Option = This Friday’s Expiration Serial
Prices Are Thursday Afternoon’s Around 3:00 PM

 

Results for this week’s trades will be posted over the weekend on the Scoreboard.