Swing Account update

I was going through my normal daily review of the Swing account today and noticed something that hadn’t become apparent to me yet: All but 1 trade is Options only. The $RENT position is the only one where I have stock involved (it has Options as part of the trade too, a Collar Put Spread).

I don’t track the % of Option only versus combo positions but likely never been this high of a % of Option only trades. Cash on the sidelines … lol

 

Note: if you are not aware, I have a Positions tab on the Blog where I list all my positions (and try to keep it updated in a timely fashion – I do list the last update time/date at the bottom)

– DM 10:00 AM CST

 

Palo Alto Networks earnings preview

PANW_C PANW_May

Traders have been chomping on the May 29 weekly $160 Puts today – Volume has exceeded Open Interest now. Could just be protection for some.

A trade idea that I am considering:

Long the May 29w 165/170/172.5/150 RRCF (L the 165/170/172.5 Call Fly, S the 150 Puts)

Cost:  .40 debit

Takes margin

 

– DM Noon CST

 

Earnings preview for Michael Kors

Here is a Daily chart on $KORS to start things off:

KORS_B

This Falling Wedge pattern has my interest – especially if the Earnings report gives investors some relief (it’s priced in!! lol). With that said, it is hard to ignore the May 29 weekly Option open interest for the Put side – quite a skew there.

Trade Idea:

Long the May 29 weekly 61.5/57.5 1×2 Put Ratio for a small debit

Takes margin

 

– DM 1:00 PM CST

It’s a Workday

I have a Fab 5 position ($100 Roll) in $WDAY and it reports Earnings AMC today 5/26. Here is my current trade (on since 5/18):

  • I own the July/Sep 85/95 Diagonal Call Calendar
  • I am short the September $85 Puts
  • Another way to look at this trade: Long the July $85 Calls and Short the September 95/85 Strangle
  • I have a Sell Short Stop set at $86.50 (would be an anticipatory hedge)

Here is a Daily chart:

WDAY_May

It looks like it wants to breakout into the report. I have elected to leave the trade as-is and just manage Risk in after hours if need be (if it breaks this Rising trend-line then I’ll tag along).

– DM 9:40 AM CST