 What's up navigation traders today is Friday, December 8th. Welcome to this week's video update Before we jump into the alerts. I want to make one quick announcement We will be doing a free web class on December 20th at 330 p.m. Central Time all about tasty works. So as you've probably seen the emails Excuse me in the announcement About tasty works as one of our preferred brokers. We've been getting a lot of questions So we decided to do a full web class on that and I'm super excited We are going to be joined by special guest Tom Saasnaaf. So if you're if you're not familiar with Tom Tom and his team were actually the original founders of thinkorswim before they built that up and ended up selling it to TD Ameritrade for $750 million and they are the same team that is building and has built tasty works So if you've if you've never heard Tom speak or talk We'll have a chance to interview him as well as get his insights and thoughts on the tasty works platform So really excited about that if you want to register just go to navigation trading comm for TW dash registration. I'll be sending out an email about that. So Biggest thing is just mark that down on your calendar because you do not want to miss it We're gonna be giving away some cool stuff. So try to be there if you can So let's go to this week's alerts Starting with our first one which we did in soybeans and this was a closing adjusting trade where we closed out our put vertical side Because price breached our break even to the to the upside So we closed out our put vertical if we go to the platform take a look you can see Price has now come back into our range here So we've got about 14 days left to expiration in this cycle And so we will look for a little bit more downside potentially before we take that off in soybeans and then Right after that we send out another alert an opening adjusting trade where we added another iron condor in soybeans in the February cycle So this is the other piece of that price still in our range Just waiting for some more time and theta decay before we do anything there Next trade was an opening adjusting trade in XRT, so we simply just added another short strangle in XRT With XRT you can see the implied volatility has stayed nice and high Retail has just had an explosion the last few weeks With with tax reform and potentially, you know Christmas sales and things like that going on so It's been a it's been a good trading vehicle. However With our so this is the new one we put on as you can see price is still very centered We haven't adjusted our other one yet even though it's it breached through our Short call and it breached through our break even barely today But the reason I haven't made an adjustment on that one yet is Because if we look at the the premium that's still in just the put in the 39 put You can you can see we still have a decent amount of premium So a lot of times when price breaches our upside strike or upside break even that means there's there's very little premium left in that put In this case, we've still got 42 days to expiration And there's still some decent premium left in that and that's why I haven't made the adjustment yet So just kind of in a little nuance anytime you have that much time until expiration Sometimes you can give it a little bit more time To potentially come back into range if it does continue higher obviously will make the necessary adjustment by Rolling up the untested side and continue to manage from there Next trade was in Adobe and we closed out our call vertical side of What was an iron condor in Adobe? I'm gonna come back to the to Adobe because we made another trade in that just today on Friday So I'll come back to Adobe Closing adjusting trade in that gas So we closed our call vertical side because we got we got almost breached on our downside break even but there's very little Very little value left in those options So this was the case kind of the opposite of XRT where price hadn't even quite breached However, there's very little value left in those options. And so that's why we we closed it out in in that gas So if we take a look at netty gas Here's here's the vertical that we have on so it's continued down So we need a little bit of move up in that gas to benefit that piece And then right after that our next alert was adding another iron condor So you can see price still well within our range there You know a little bit of a move up and some more time to pass to benefit that piece of the net gas trade Next trade. So that's the other net gas iron condor. I just mentioned and then in EWW We had a closing trade where we closed out a short strangle for a little over 40% of max profit So that was a nice trade Next one opening adjusting trade in FXI So this is where we added another strangle in FXI And so you can see here price has moved up on us a little bit since we put it on but still well within our range And then we've got the other piece in here Both of which are in January and this is our adjusted Strangle from previously so need a little bit of an up move some more theta to decay in FXI to benefit that You can see implied volatility still very high with the percentile at 89 So we'll continue to keep positions in FXI As long as that stays if not if it collapses most likely we will be able to manage some winners there So stay tuned in FXI Next trade opening adjusting trade in DIA So we've been holding a short call vertical for a couple cycles that was a part of a previous iron condor and And We were doing that because we wanted to hold that short bias some of that short delta in our portfolio for protection In this case, you know the implied volatility got nice at nice and high in DIA at 95 So we wanted to add another position in DIA. So we added an iron condor So if we take a look At DIA, you can see since then that the implied volatility is collapsed Premium just got sucked out of the options today So you can see we've we've got some profit in that iron condor, but not enough to take off yet and then we've got our Dece December Call spread that that's continued to move up out of our range. So we'll look to roll this We've got about a week left in these options. Yeah, seven days. So early next week We will be rolling that out to January to to continue to keep that short delta in our portfolio Next trade was closing adjusting trade in ES in the S&P futures We put on the siren condor just seven days before and we're able to book a Profit of about a 30% of max profit gain in that piece. Now. We're still holding the 2590 2620 call spread in December So we will look to roll that by next week and Then we also have that long put vertical in ES Which is not part of the iron condor trade But we'll look to roll that next week as well. And again, that's just there to keep that that short delta in our portfolio So I did I did get a question going back to the ES I did get a question this week from a member about about continuing to keep that in the portfolio and Yeah, it has definitely been a drag on our performance because the market has just, you know, obviously it's been continuing Just a grind higher rip higher So you're obviously going to get hurt on your hedges on your on your short delta in this kind of a market But you know, keep in mind. I mean this market's not going to go up forever We've got to keep that short delta in our in our portfolio for protection And I've been doing this a long time and it always ends up paying off in the long run So so just make sure you're keeping short delta in your portfolio in one way or another Whether it's through the long put vertical or short call spreads like we're doing here Just make sure you have some form of short delta in your portfolio Next trade was a new iron condor in GLD. So GLD IV finally got over 50 It's been a while since we've done a gold trade And if we take a look at it's already come down significantly today So got that on when when IV was at about the 50 IV percentile is at about the 50 level And so we're just waiting for some more time to pass to get some some some profit out of GLD Next trade was an opening trade in EEM. The IV percentile got up to 89 at that point So we sold strangle in EEM. I try to mention this When possible as an alternate alternate trade, you could you could buy the wings to trade an iron condor as well the problem with with Equities like EEM where they're only, you know, 40 some dollar symbols You're just not you're not collecting enough credit to make it worth the transaction cost a lot of time So I just mentioned, you know, just if you do that just make sure it's worth the transaction costs If we take a look at EEM You can see we've had a nice contraction in implied volatility since then Actually just today in there as well Give us a little bit of profit, but not much time has passed since we put that on so waiting in EEM and Lastly Well two more trades so Adobe I mentioned I was gonna come back to this so if you were in the trade with Adobe and you remember the huge Move that it had we originally put this trade on right after earnings as a post earnings iron condor it was working very nicely in this nice little range and then Adobe came out with a surprise announcement about some new technology and In the stock to skyrocket it had about a two and a half three standard deviation move I think at the time we continued to manage and adjust and so forth and we got back a Portion of that loss had had price kind of come down for us But we've got I ended up take closing out the whole trade today So we took a loss on the Adobe trade but not as significant as if we hadn't done any adjustments And that's the key component when you have something like that happen Which that is gonna happen from time to time Then you've just got to stay mechanical make your necessary adjustments and and try to you know get away from some of that loss And so we were able to eat at eat away at some of that loss but what but now we've got earnings coming up on the 14th and Price was really centered in that iron condor, and so it just made sense to take that off Book a book a loss on the trade overall and just and just move on And then lastly in in Baidu So this was another situation where we had an earnings iron condor on in Baidu And if we take a look at the chart You can see we put this on before earnings had this huge move down broke through our range and then and so we had to Adjust and stay mechanical and by doing that we were able to take off the entire trade today and book a Couple hundred dollar profit, so this is one where you know it went from initially a you know We're down about I can't remember exactly, but I think over $600 But by just mechanically Managing get all the way back to profit and book the profit of up 200 bucks in that trade So that is the key stay mechanical stay small and and you'll be all right So let's take a look at some of the other positions. I mentioned ES. I mentioned that gas in ZN So this is our our notes position So we've got this the strangle on in the 10-year note not enough profit to take off yet, but We've got it can we did get a contraction in the implied volatility of bonds down to really low so Like to see this, you know, I like to see us get you know, 30 40 50 percent of Max profit before we before we take this off. So hopefully next week assuming that stays in nice range for us. I Mentioned soybeans wheat. We still have an iron condor on in wheat So the price is kind of hanging out down here near near our lower end of our range So just need a little bit of an up move and some more theta decay in wheat Continuing to work our way out of that one nicely. I mentioned adobe by du dia em EWZ We've got a strangle on an EWZ got a little bit of profit there, but not enough to take off. I mentioned FXI GLD IBM starting to get some a nice profit back in IBM. So this is a trade that we originally had on and then we had to adjust and roll so Assuming IBM stays in a decent range and we get a little bit more implied volatility contraction there Hopefully we can take that off next week for profit as well IWM Got a couple of positions on in IWM So one is the short call vertical spread which is part of an iron condor Prices come back into our range need a little bit more down movement to benefit that piece And then we've got another full iron condor on Which you can see we got a little bit of profit, but not enough to take off yet there and the short call spread is in December, so we've got seven days left there. Yeah Seven days left. So we'll look to either close that or roll that piece early next week In the cues So we've got a few different pieces of this trade on here So we've got two short call spreads that were from previous iron condors in Dease This one is moved back into our range again Just need a tiny bit more movement before we take that off and book a profit in that piece and then Another one here, which again is in our range. I just need would like some more down movement before we do that But those are all Dease so we were we will either roll or book profits in that early next week Then we've also got the full iron condor on in in the queues which not much profit or loss there So just just waiting for some time to pass in the queues And I already mentioned XRT. So that's it for this week Hope everybody has a great weekend and don't forget make sure you put on your calendar December 20th 3.30 p.m. The the tasty works web class with Tom Sosnoff. Can't wait to see you there It's gonna be an exciting event everybody. Have a great weekend Talk to you later