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IWM

SPY 400/394 Put Credit Spread - March 21 ExpiryFill: 0.54 Credit Strikes: 400/395 Max Risk: 500-54 = 446 This was an order that I had been sitting on all day, trying to hold myself back from reducing my target price. Ill be honest, I liked these strikes so I wanted the trade. Reasoning: 1. Large move down today, attacking prior lows - This is jumping the gun a bit as I usually wait for some confirmation of an upward movement, but as I mentioned I liked the strikes and the 10% Margin of error on the SPY, something I dont get often with my trades unless IV is high. 2. Yellow line is the lowest we have seen in 2022, and this still provides a 5% cushion from there as well. 3. Capital Deployment - I have been sitting on my hands alot recently, but I need to get trades out there. The reality is that I have built in risk management into my strategy and taken this risk into account when I project yearly returns, this is great to do, but means that if I do not deploy the amount of capital that I plan to, I dont hit returns because there is already a loss cushion built in. Currently around 20% deployed, and I should be at 34% as per my trading plan. Questions? Comments? Leave them below!
AMEX:SPYLong
by ThetaTrades
1
What happens after double top rally in markets?I am using index ETFs here since I use them for option trades and they are so widely traded. Study DIA, SPY, and QQQ and note the double top similarity as it corresponds to RSI. DIA and SPY were a little stronger in that RSI showed a double top above 50. QQQ had an earlier 20 below 200 ma cross, so it is weaker and its RSI did a double retest of 50. Friday's candle broke the lows on these three charts and technically triggered more downside. However, in this anything can happen market, there is a possibility that this Friday-Monday pullback results in another move higher before making new lows. For trading, this means be patient and do not over-commit to one direction. You can start a smaller swing position and add more puts when you have more confidence in the trade. Also, though not shown here, stochastic %K has given a sell warning on the daily chart. The candles from 9-11 Feb moved %K from above 80 to below 20. Sometimes more downside follows immediately, while more often there is a price bounce up first as %D is still making its way lower. I cannot predict which will happen but I know to be on the lookout for a reason to buy puts. I want to discuss IWM separately, as it does not have the same double top formation on RSI and price. IWM is more bearish, as 20sma crossed below 200 earlier, and so this chart is weaker. When you look at its weekly chart and indicators, you may want to buy swing puts.
AMEX:IWMShort
by OptionsRising
2
2/13/22 LMTLockheed Martin Corporation ( NYSE:LMT ) Sector: Electronic Technology (Aerospace & Defense) Market Capitalization: 107.893B Current Price: $396.19 Breakout price: $396.00 (hold above) Buy Zone (Top/Bottom Range): $384.80-$369.85 Price Target: $416.00-$420.00 (1st), $434.00-$442.00 (2nd) Estimated Duration to Target: 103-110d (1st), 211-221d (2nd) Contract of Interest: $LMT 6/17/22 400c, $LMT 9/16/22 400c Trade price as of publish date: $19.40/contract, $25.30/contract
NYSE:LMTLong
by lord_catnip
$IWM Russel 2000 - Small caps previous support now resistance?Small caps tend to lead the market. Not a great picture as we saw a strong reversal off previous support yesterday. Technically we have the 50dma trading below both the declining 200day sma and emas. The moving averages are pointing down and we are still under the anchored vwaps from the previous highs. We also seem to be forming a rising wedge formation which are usually continuation patterns in the direction of the previous trend (currently down). Not much to be bullish about in this chart, so odds are in favour of further downside, unless we can climb above a mountain of significant resistance levels above (something which seems unlikely at this stage).
AMEX:IWMShort
by MarcoOlevano
Rolling: IWM February 25th 197/198 Short Strangle to March 18th... 199 short straddle. Comments: As with my February 18th IWM tight short strangle, rolling out my February 25th to the March 18th 199 short straddle for a 4.24 credit. Total credits collected of 12.80 relative to the March 18th 199 short straddle price of 14.46, so also still slightly underwater. I'll continue naturally continue to do defensive adjustments as necessary to keep these setups from getting too directional.
AMEX:IWM
by NaughtyPines
4