 What's up navigation traders welcome to this week's video update today's Friday, October 11th Hope everybody had a great week of trading before we jump into the alerts and positions I just want to remind you don't forget part 3 of the iron duck option spread series is this coming Tuesday and That is October 15th at 4 p.m. Central time now if you've already registered for part 1 or part 2 You only have to register that one time. You're already ready to go for part 3 We'll send out the link, but it's just navigation trading comm slash iron duck live Which is the same broadcast room that you saw part 1 and part 2 in But part 1 is in the books part 2 is in the books now all we have left is part 3 Which is going to be all about futures including the reverse iron duck so make sure you're there Already I already hearing some really good success stories with the iron duck strategy some some bigger traders Just pulling in some massive profits. So awesome stuff and we're just getting started. So make sure you check that out and by the way, I've gotten a couple of Questions about this in the community when you log in at navigation trading comm all your strategy courses are right here Okay, so you just go down and down at the very bottom is the or close to the bottom is the iron duck option spread So you open that up. We part 1 has already been edited into all these different Sections so it's a little bit more easier to find and go back and reference different parts And then part 2 is still in its full form from just the recording and that'll be split up Next week as well. So that's where you find it. It's all under iron duck option spread If you need to go back and reference Before we jump in the alert, so let's take a look at the community talk about who got caught being hot This week goes to a fellow trade hacker that goes by the name Walter burr Walter's really just jumped in asked a lot of great questions Helping other traders making suggestions just answering questions. It's been awesome. Well, keep up the good work You got caught being hot All right, let's jump into the alerts for the week starting on Monday the 7th So our first alert was an opening trade and we sold a strangle in the British pound in 4 slash 6 B now if you're in this trade or you've been watching the British pound We've had a massive move the last couple days Just I mean this thing is just taken off to the upside now Plot volatility was already decent when we put this on so we're still in our range. It got to about our short strike here But if you look at just the put side the untested side still got some decent premium left in there So we're not ready to roll those puts up quite yet As far as time frame goes we've got 28 days to expiration. So Next Friday will be down to that 21 days to x ray expiration period So if it's still kind of hanging out up there, we'll roll the puts up and potentially roll it out to the next cycle But we'll we'll just kind of play that by ear. Obviously if if it rebounds We could still book a profit before rolling potentially, but we'll see what happens Just going to play the probabilities as we always do Next trade opening trade in SPX. So we put on a new iron duck in this case with eight days to expiration and And so I'll get to I'll get to the I'll get to that here in a second Let's go on to the next one first Next one was a rolling adjusting trade in natty gas. So we rolled one set of our strangles from 20 days to expiration out to 48 kept the strikes the same We're down to 20 days to expiration and so we needed to roll out to the next cycle We had two different sets of nat gases. So I'll go to the platform once we get to the second alert Next one was a closing trade in an SPX iron duck that we had put on This was the very first one that we put on and we ended up just letting this one expire took the beak profit and And and and booked that 160 bucks on that trade At that point we're still holding our SPX with with seven days to expiration. So I'll get to the I'll get to that one here in a second as well Next trade rolling adjusting trade in that gas. So here's the second roll on our nat gas position This one was down to 18 days to expiration that we rolled that out to 46 So now we've got both pieces out in the December what toss calls the December cycle So if we go to natty gas You can see here, but this is kind of both of them put together Remember they share the three strike put because it it is so deep in the money that we went ahead and just share that for both sets and So on the call side, they're very similar to but we've got the 2.3 call and 2.35 call But this is both of them together. So just waiting for some more time to pass waiting for some more theta 2 decay Next trade opening trade. We did a broken wing iron butterfly and We did that in Beyond Meat BYND and we did that with eight days to expiration and I talked about this broken wing iron butterfly strategy at the end of our iron duck part two so if you missed that it's kind of towards the end of part two and And it's just a variation iron duck where we're putting the short strikes at the same strike. So if we go to Beyond a meat It's actually after with the market up huge today Surprisingly beyond meat down over 3% and so when we put this on Price was basically started up in this area somewhere and it's come down. So it's in our Tent area, but we've got how many days do we have now? We've got seven So, you know over the course of the next week, we'll watch this theta decay Hopefully it stays within our range and we'll close this out Shortly before the options expire. So that is the plan in Beyond Meat Now let's go on to the next trade Next one was a closing trade in SPX So this was our other iron duck and and we closed this one today And the reason being is because with the strong movement in the market I mean the price just ran way up the beak and so instead of holding this for another five days we just closed it out took that full beak profit of 145 bucks and And look and look to redeploy that that money into another iron duck, which we did today as well And so now we'll go to the platform We did this with 14 days to expiration with the market running higher implied volatility Contracting if I enter on days like this, I like to typically go a little bit further out so instead of going like seven days out we went 14 days out and And so let's take a look at what that looks like. So if we go to SPX And then this is a trade that I put on from a suggest from a comment in the community So that's not one of our alerts, but I'll talk about that here in a second to actually because it's kind of interesting So this is our SPX iron duck. Let's set our slices back to the break even point 1026 is the expiration here So this is what it looks like So we put this on so it's pretty close to where we put it on see we got a max profit of 650 bucks with a Beak profit of 150 Remember the beak profit is basically the credit you receive minus the width of the call spread So the call spread is five points wide We collected 650 as our max profit. So that's where the 150 comes from 650 minus five equals 150 okay, so that's where that comes from now the other thing I just wanted to point out on SPX here that I had checked initially was One of our members in the community said hey I I was looking at this double calendar spread with the market running up and plot plot volatility Contracting putting on these weekly double calendars just like we teach in the weekly income course now what what this member did was They were basically selling the October 18th and buying the October 21st So a little bit more narrow spread between the different time frames than we then we do However, if you look at this, I mean look how flat the P&L line is Look how big of a a max profit. We've got over a thousand dollars on most parts of this peak And we're only risking, you know a few hundred bucks per contract And so I put this in just to just to watch it so and so I could discuss it today And what happens when you see something like this that looks so so favorable typically what happens is there's I Haven't even looked but there's got to be some type of announcement or something going on next In these further dated options that's going to cause the premium to collapse or contract at least and they're gonna contract Quicker than the front month than the front week and remember when we're when we're putting on these double calendars We're selling the front week because we expect them to contract Faster than the back week and we're putting on the back week because they create that defined risks risk scenario And and but when you see a scenario like this That almost looks too good to be true that typically means it is so if you were to put this on on a stock Right before earnings you're gonna kind of see a very similar type thing and so We'll see what happens. I just put it on to watch it and so I could I kind of answer I could kind of explain it better to this member and to the rest of the community But I just wanted to kind of point that out and and we'll we'll follow that and and post more about that I just want to show you what happens, you know right now and just for reference point You know, we've got so it's right here the seven and the ten Seven days to expiration and ten days to expiration right now You'll see the implied volatility on the seven-day options are right here 14.92% and then ten days out is 13.87 so we'll see what happens to those options and the implied volatility over the next week and And it'll help give you a better idea of of the situation with this with this double calendar All right, so hopefully that's helpful or it will be once you kind of see what happens Next trade closing adjusting trade in KRE so we had two different sets of short strangles on in KRE On this one we booked over 25% of max profit And it was basically almost a straddle and that's why we we took profits earlier on this piece And then we're still holding our other piece. So if we look at KRE You'll see here's the one that we still have on We took off the 52 53 and now we still have the 50 57 prices sitting right here So if we get a little bit more movement up and some more contraction We'll probably book this one next week as well as long as it doesn't run away from us in one direction or another Next trade and final trade of the week is a rolling adjusting trade in Apple So Apple has just been exploding higher and we've got a long put vertical on so we just rolled this To keep that short delta exposure in our portfolio and where we're at right now is that we're at right at about two to one On our short delta versus our theta ratio. So we're in a good position I'll tell you boy. I mean today does not feel good when you have that kind of when you have short delta on and in The market rips higher like it did That does not feel good. Now the good news is It gave up in the very last hour of the trading day gave up over almost about half of the Gains that it had on earlier. So that helped out a little bit. What but when the S&P was at 55 points, that was a little brutal But you got to stay mechanical, you know, again, this is Seems like a little bit of an overreaction as far as how this exploded higher these last few days But we'll see if there's some additional continuation or this thing rolls over and dies We'll be watching that next week So those are all the alerts. Let's take out take a look at some of our other positions I mentioned 6b oil making a big move higher today almost two and a half percent, which is good for the good guys Prices down here, you know, if it was gonna continue running We're gonna have to roll our calls down, but it ripped back higher So we're right back in line with where we need to be just now waiting for some more time to pass and theta to decay Yes, we've got the long put vertical holding for that short delta exposure. I need some downside to get back into range In gold we've got an iron condor pretty well centered here. Let me make this a little bit easier to see stretch this out And so price is pretty well centered here just waiting for some more Time to pass before we do anything there Natty gas I mentioned bonds get a little whip sod and bonds. They're coming back down We came all the way back down into center and now we're heading down towards the lower end of our range You can see it's set a big move with the market ripping higher bonds have gone lower and So that's where we're at on our bond trade if it continues lower or if it rips back up to the upside I'd like to add on to this again. We're still battling back To get back to profits in bonds. So just on in wait and see mode right now Wheat up over 3% today, but still well within range on our iron condor. I Mentioned Apple. I mentioned beyond de This one moved out of our range here. So just looking for some downside to get back into our range on that one And we'll and we'll do something with this next week either roll or close it This is still in October and we're down to what seven days in October. Yeah, so we'll address this one next week DIA we've got two sets of short call verticals One's got three contracts and it moved out of our range here today and then the other one is still within range Just looking for some more downside to benefit those Goldman man, this one was frustrating. I had a I had an order in When one price was kind of down here to exit this and it's it just ripped higher on us Never had a chance to get out again. So just kind of in wait and hold mode See if this can get back. We'll go ahead and roll this one or close it Next week as well because it's in October as well IWM we put on this position for some more short Delta exposure and prices moved up a little bit on us since we put that on So again, just holding this for some short Delta IYR we've got this iron condor it's dead center. Just waiting for some more profit before we do anything there. I Mentioned KRE QQQ Very similar to DIA Just holding these two sets of short call verticals for that short Delta exposure prices right here, you know, well within range I just waiting for some more downside to benefit those SMH now we find ourselves all of a sudden with this at the upper end of the range again and Implied volatility contracting, but we will look to potentially add to this one Early next next week assuming implied volatility stays decent by just adding a another short Strangle kind of centered around the current price This is in November So we've got 35 days in that cycle and then 70 in the next one So we'll probably we'll either do it in November or we'll wait another week before we add to this Wait for these options to get down under the 60-day to expiration range. I Mention SPX SPY. We've got an iron condor here and in SPY and Pretty well centered here And so not quite enough to take off yet But we'll be looking at that next week and then lastly XLK long-put vertical kind of same story Need markets to go down a little bit to get back into range on that piece So those are all the alerts. Those are all the positions. Don't forget Tuesday iron duck part 3 We'll see you then. Have a great weekend