Feel like making a trade?
Here is a simple strategy if you believe we will see a big move on Monday.
Buy 5 Oct35 puts on the QQQQ @ 0.20 = $100
Buy 5 Oct45 calls on the QQQQ @ 0.20 = $100
According to my analysis, if the QQQQ have a big drop, say to $37, you stand to make around $300 on the trade. If the QQQQ’s have a big move, say to $45, you again can make near $300.
And, if there is a huge move (crash type move), you could easily catch $1,000 from the trade.
The way you lose your initial investment of $200, is if the QQQQ’s stay between $39.75 – $41.
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I think buying strangles on all the indexes should pay handsomely over the weekend. I will definitely be taking such trades under consideration as we head into the close.
Yep something will blow either Monday or Tuesday. Good strategy.
i gave it a shot. 10 contracts each. we’ll see how it goes. this is my only active trade
for people that have internet accounts, ask yourselves, if your firm would survive a market crash come monday. also if funds would be frozen for a period of time.
I read this post after I typed my post condemning anyone betting on a move Monday, so consider you guys grandfathered in.
I went for the strangle play, thanks RC.
you could also use the “quarterly options” if you’re going for a shorter term trade as the options are much cheaper and offer higher upside potential
More sophisticated traders may also want to consider selling deeper OTM OCT or NOV calls and puts to combat theta decay.
Thanks for a great trade idea.
RC, beware of Nov.8 Bama is the real deal.Tigers are going down.
Funny story:
In April of this year I proposed to my girlfriend of 5 years. The day after the proposal, she had all the details worked out.
She told me that we had to have a November Wedding, and I agreed. November 1st was the first choice, but that didn’t work so she decided to go with November 8th.
Fine, whatever, let’s just get it done.
Come to find out a few months later, LSU plays Alabama in tiger stadium that very day.
“Houston, we have a problem.”
I told the future wifey there was no way we could have the wedding on that date! That in itself turned into a big ordeal, but I’ll spare you the details.
She explained how reservations were made, invitations were made, and all sorts of other egregious excuses.
Long story short, she won, I lost and so everybody else.
Dad, uncles, friends, damn near everyone I knew went to LSU. I wonder if anybody will even show up to the wedding? I know I wouldn’t.
RC — No worries. My cousin got married on the weekend of a huge Giant game that was for some reason being played on a Saturday.
Yes, everyone lit out from the reception to go over to the hotel bar to catch at least some of the game. (my family is about 98% Giant fans).
Yes, my Aunt was pissed all to hell.
But everyone had a great time, and the “game” became part of the legend of that huge party to celebrate their wedding.
Your People will be their for you. Likely, they will give you schit for your timing, and likely, they will sneak out to catch some of the game, but they will be there for their favorite Tiger fan.
_
RC, good luck to you, but hell over high water I would be at that fucking game.Ive been married 3 times so listen to my ass.To much pussy in Hawaii to be married.lol
Umm, just bring in the flat pannels and tivo and make it a part of the day. This is your day as well, screw tradition and make it a day that makes everyone happy!
my thoughts exactly.
RC, my fiance and I get married Oct 24th and we’ve been together for 10 years. She has about 97 people showing up. I have 3.
I agree, have the game on when it’s appropriate. It’s your day too.
RC thanks for this trade idea again! I made 450% on it and just cashed in the puts. Maybe the calls will move the same and be a win/win.