 What's up navigation traders today is Friday November 9th. Welcome to this week's video update Before we jump into the alerts I want to give you all a sneak peek into something that we're going to be rolling out here in a couple weeks and As as pro members I want to give you the first look and Because I like you I like you you're my people so what I am showing you here is it's kind of a Inside peek at our new navigation trading community We're calling it the trade hacker community where we can hack each other's trades and and just kind of get to know other members and Interact with other members super excited about this This is the this is kind of the home screen and this is going to be available for everyone and so You can come in here. You're gonna see different posts that we make You know, we've got our blog posts and some other things here and so if you said Came in here and you could just say hey, you know, why do we enter trades? with high IV and Then you can post that you can enter it as a specific topic like options know-how for example to kind of keep these Segregated in different topics and hit post I as the host can notify everyone on a post but in this case, I'll hit don't notify and That will pop up and then you know, we can answer as the host You all can jump in and make suggestions or answers as well so you could say because we make more money and And Comment and then, you know us or somebody else could come in and say yes, we like that answer hard it So this is kind of like a private Facebook group without the distractions of Facebook and we did that on purpose because we want to have a place for just traders just navigation traders to come and interact ask questions and And get to know other other members as well So there is there's gonna be a what's called a discovery tab where you can search, you know Some of the top posts some of the top topics view the different members There's a member section so you can you can classify yourself as a new trader intermediate or advanced trader You can you can look at other members near you So if if you are in a specific area and you want to find other like-minded traders to potentially interact with or potentially even meet up with You're gonna have that ability now if you don't want to put your name out there You don't have to do that either you can remain anonymous if you want But here's what I'm really excited about specifically for you as pro members is we are gonna have a specific group specifically For our VIP pro members, which is all of you listening to this right now And if you click on that it takes you into a different section that's only accessible by pro members And so in this section, I will not only be posting the alerts So it's another area that will be posting the alerts and then it allows you to ask any questions about that Sometimes I'll post an alert and I'll get a ton of questions on that specific alert So this will be an area where you can post that get answers from myself as well as other traders in the community and The other thing that I'm super excited about is I'll be able to jump in here into this VIP Pro members groups and do live broadcasts So if there's something that I get a lot of questions on I can jump in here shoot a quick live video You can join live. I'll send out an alert saying hey, I'm joining. I'm Broadcasting live in 10 minutes in the VIP pro member group area. You can jump in here check that out Obviously if you aren't able to join live, it'll be automatically recorded and posted in this area So you can check that out You just doing all kinds of cool events and in broadcasts and different things. It's gonna allow us to get to know each other and And and allow other traders to interact with with questions You might have allow you to answer other questions, you know, we get bombarded by by emails and so this is gonna really help us be a little bit more efficient in getting your questions answered quickly and So anyway, super excited about it. So that's kind of the sneak peek Stay tuned for more information coming soon All right, let's jump into the alerts for the week starting with Monday the 5th and The first trade alert that we send out was on our friend Natty gas, which has been having some big moves and So let's take a look. We we did a rolling adjusting trade. So remember when we do options on futures It's two separate transactions. So we bought that one back and then we rolled out to the next cycle so we rolled from December to January and And so we we went ahead and rolled that out and we went inverted on that one So we've got the three point one calls and the three point three put so anytime our puts are higher than our calls That's what we call inverted and then we've got our other short strangle as well So let's take a look at Natty gas first of all big move today. It's up over 6% On top of already being up a few days ago So big move there, but if we take a look at our trade here is the strangle that we have that's unadjusted You can see implied volatility has gone up, but it's still well within our range even though we're down on that trade So nothing to do there Then let me reset these So we can take a look at the other piece and then this is our inverted strangle, which I just mentioned in the alert And so you can see Price has moved up. It's it's testing our break even but remember after we make an adjustment That break even point is not necessarily the trigger to make another adjustment What we look at is we want to see what the value is left in those premiums on that untested side Which in this case would be the put side and as you can see there's there's still a ton of premium left We've we've got about almost six hundred dollars of a potential 1,420 so we're not making any adjustments at this time, you know if price bounces back into range That's great. If it does continue higher then we will stay mechanical and roll our our puts up again and collect that more additional credit and And typically when it makes a huge move like this just understand that you're going to be in the trade a little bit longer now There is nothing that says Nat gas can't snap back and come back down into range and we'll be we'll be good to go But we'll just stay mechanical stay calm remember on these contracts like Nat gas and oil. These are bigger contracts So you want to stay ultra small? We're not going to be adding any additional positions to this We already have two and with these futures, you know, we got it We got to stay ultra small so make sure that you're staying small relative to your account size and you'll be fine You know the the people who are kind of freaking out after big moves like this It's because they're their positions are too big I mean it all comes down to size and I know I beat this dead horse over and over and over again But you've got to stay small Otherwise these big moves can hurt you if you stay small they cannot hurt you and so that is the key so Stay mechanical stay small and and everything will be fine Next trade was in opening adjusting trade in IYR. So we added an iron condor in IYR in The December cycle IV percentiles up at 90 at that point And so we still had our our short put vertical on with which is part of a previous iron condor And we were just waiting for price to kind of bounce back up before we did anything It did it did end up coming back up and we closed that piece out for a profit Which I'll get to you on a future alert But for now, let's look at IYR and take a look at where we're at So this is the new iron condor that we added so we're already up a little bit of profit on that not near enough to take off yet So just looking to continue to manage that we had that other short put vertical in November with price moved up And we were able to book a profit on that November piece So now we're just still holding the December trade Next trade was an opening trade in 6e so we got back into the euro IV percentile got up to 70 at that point And so we sold some premium in the euro and we're still in that trade Nothing much has moved since then So you can see we're still pretty dead centered with no just a little bit of profit in there at this point Next trade was a closing trade. So we bought back our strangle in six B Which is the British pound booked over 30% of max profit on that trade And so we are out of the British pound nice trade there and we may look to enter You know, I don't want to get overloaded in currencies because these The pound and the euro are fairly correlated meaning they move together. So Excuse me, so if we take a look at FXB Which is the the pound ETF you can see implied volatility is super high But we we might make it wait till the euro makes a move So it's not dead centered and and we may add on to we may add a 6b Position FXB the the ETF is really just not tradable So we're gonna we're gonna look at the options on futures if we do enter a new trade there So but we are flat. We are out of the British pound at this point Next trade was a closing adjusting trade in wheat. So our friend wheat has been playing nice as of late We're still in a royal battle with wheat before we get out of this one with a profit But we booked over 50% of max profit on that piece of the trade and then we're still holding our iron condor in the January cycle So if we take a look at wheat, you can see we're still still well within range here You could use a little bit of up movement and it's just more time to pass before we do anything else in wheat Next trade was rolling adjusting trade in gold So we had a short strangle on in gold that we had adjusted and then we got under that 21 days to expiration So we wanted to roll out to the next expiration cycle So we rolled from December to January and we kept the same strikes I mean, it was still pretty centered. So we didn't we didn't move the strikes around But we just went ahead and rolled that out to extend duration So you can see what we got here now. It's almost a straddle where these short strikes are pretty close But price is right here. So just looking for some more time to pass before we do anything else in gold Next trade was a closing adjusting trade in EEM So we closed out one of our short strangles in EEM booked around 30% of max profit on that piece And then we're still holding our other short strangle in EEM and you can see we've got some profit here about a hundred and fifty one dollars of a potential five hundred So just waiting for some more profit before we before we do anything in that one next trade was opening trade in Netflix, so I was looking for a Stock or an ETF to add in some short delta on so this is a bearish trade to add some short delta into our overall portfolio And basically the reason I was looking at this as a potentially good candidate was because Let's go to the chart real quick So we saw this big flush down after earnings and then price had popped back up And so I was just looking at this as a good Entry point, you know a lot of times after a stock makes a significant move in one direction and then pops up Sometimes it'll continue on in that original direction So we're looking for a continuation to the downside We did take a little bit of heat it started to move up on us even more, but then it's rolled over the last couple days Giving us a little bit of profit We're gonna wait for a bit more before we take this on it's keeping that short delta exposure in our portfolio that we want and And we're not quite to 50% of max profit. So we'll look for around that 50% mark potentially You know if that comes pretty quick. Otherwise, we'll just kind of hold on hold on to this for a little while As far as our overall short delta exposure, we're still a little bit under one-to-one on our ratio So we've got about three hundred fifty dollars of theta and we've got about a little over a hundred dollars of short delta So we are under that one-to-one Remember we like to be about one-to-one to five-to-one But after this big down move that we've been seeing in stocks We're kind of hovering around that one-to-one ratio and that's and that's fine at this point Obviously if if the market continues lower, we're gonna wish we had more But if it rips back higher, you know, we're gonna be in a good situation So we are set on that for this point And and you know if we see the opportunity to add some more short delta we might but at this point We're just kind of hovering around that one-to-one range Next trade opening adjusting trade in CL and oil. So we added a short strangle and oil IV percentile up near that hundred range And oil has been making a big move here. I got a couple questions about this From members today. So here's real quick here. Here's the short strangle that we added So it's still pretty dead centered here down just slightly on that one And then we've got our other piece which is an adjusted short strangle And you can see price has come down. It's come through the breakeven But remember this one has already been adjusted so that breakeven point isn't necessarily the point of making a net another adjustment We look at the value of the untested side, which in this case is the calls And you can see we still got a decent amount of premium left in those calls So if price continues lower then we will roll those calls down again But at this point we've got a lot of time. We've got 35 days left in that January cycle So nothing to do yet except for hold and wait Oil has been just making a huge move down though. I mean we've had what is that one? I think ten days one two three four five six seven eight nine ten days down in a row Which obviously anytime you have a massive one directional move, of course, that's gonna, you know test your Rangebound trades like your iron condors and short strangles But you've got to stay mechanical and and you've got to wait I mean oil is not gonna go down to forever oil is not going to zero. There's always gonna be value in oil So, you know, we're just we're gonna stay mechanical and play the probabilities. Let the probabilities play out and Hopefully it bounces back a little bit and we get back into range and we continue to manager manage as necessary Similar to that gas just keep in mind. You're probably gonna be in that trade longer. We're gonna extend duration As we get closer to expiration, but again, we've still got 35 days left in January So we're not looking to roll out or or or roll our strikes in any way at this point Next trade a closing adjusting trade in SMH. So we closed out one set of our short strangles in SMH this was our 99 straddle and Originally was a strangle, but we had adjusted into a straddle and we booked over 20% of max profit on this piece and so I got a couple questions on that because We did have We're still down on the trade So we didn't it's not like we were profitable We just booked 20% of that 99 straddle after we rolled and so it was just it was dead centered Premium was getting sucked out of the market after the after the mid-term elections implied volatility was really contracting So it just made sense to reduce our exposure in SMH And so we we booked that piece of the trade now. We're still holding our other piece, which is An unadjusted strangle you can see we've got some profit there Not quite enough to take off yet If we do get to 50% of max profit will end up being about break even on the trade overall So if price moves Significantly one direction or another will probably add on another piece to collect some more credit But just holding in SMH for now Next trade closing adjusting trade in FXI. So we had a couple butterflies on in FXI We got a nice move up Which allowed us to book a over 25% profit on that piece of the trade and And then we still had our other one and then right after that we sent out another alert adding a new Butterfly and so we so now we still have two butterflies. So let's take a look at FXI So here is our Call butterfly and you can see now price. Let's just take a look at what price has been doing So we got that move up. We were able to close out of our November piece and it's moved back down We added another December piece and so we've got these two butterflies. This is our call butterfly You can see prices hanging out right down here near our break even and then we have our other Put butterfly where you can see prices hanging out near the upper end of the range Now if we put these both together just to kind of look at the trade overall You know that looks basically just like an iron condor, right? And so it's dead centered between the two. It's on the upper range of our Put butterfly in the lower range of our call butterfly But we're just continuing to manage this and hopefully the price just kind of ping-pongs around and we can get out of one get out of the other May may look to kind of add and remove depending on what happens But just in holding mode right now for FXI Next trade was an opening trade in EWZ. So wanted to get back some exposure in the Brazilian ETF Ivy percentile at that point was at 77 So we take a look at EWZ You can see price is still pretty pretty dead centered in our short strangle here in EWZ Next trade was a closing adjusting trade in IYR. So that's the other that's the one I mentioned We had we had that short put vertical in November and price made a nice move up We're able to get out of that and booked over 35 percent of max profit on that November iron condor And then we're still holding the the IC in December that I already mentioned Next trade was an opening a trade that we did today in Facebook. So I was looking to sell some more premium We've we've got a lot of it the indexes the indices covered as far as positions on so I was looking at some different stocks Facebook just had earnings last week So we don't have to deal with earnings or anything like that implied volatility has popped up The last couple days. So we sold some premium in Facebook. We're getting a really good risk reward for the amount of buying power used here. So we we put on a Two-contract short strangle in Facebook and you can see it's still pretty dead centered where we put it on and Lastly we did a rolling adjusting trade in EWW So price came down and moved past our short strike to the downside So we just simply rolled down our untested side, which is our calls and We rolled that down from 50 to 44 and Then we're still holding our other piece our other short strangle in EWW as well So here is let's just go to the alert first. So here's here's where that stands. So we just rolled down Our calls were way up here at 50 and we just rolled those down to 44 Collected some more credit and so now we're just playing the waiting game to get some theta to decay there Eventually, we'll probably roll that out to January. But again, we've got we've still got 42 days left So we've got a lot of time For some theta to decay in there. So we're just holding that and then we've got this other piece Which is another short strangle. We have not adjusted yet However, we are down on the trade because implied volatility has really spiked since we put this on You can see we put it on I think on this day and then the next day. I just implied volatility spiked up So that made the options more expensive. So we are down on that piece. However, we're still well within our range here So just waiting for time to pass in EWW and Those are all the alerts. So let's take a look at some of our other positions. I Mentioned six E. I mentioned oil Yes, so we've got this long put vertical on that we've been keeping for some of that short Delta exposure You can see with the recent uptrend after the midterm elections. It's broken out of our range here So just looking for some downside to benefit that we've got 42 days here, so we're not looking to roll that one yet We are getting some negative theta because it did break way out of our range. However, you know We're still, you know playing the probabilities We're still gonna wait till this potentially can move back into range if it doesn't then we'll look to potentially roll out To January once we get closer to expiration, but nothing to do there except for hold. I Mentioned gold. I mentioned natty gas bonds. So we've got a short strangle on in bonds And you can see that one is it's pretty centered We've got some profit in there but not enough to take off yet So just in a holding pattern waiting for some more time to pass some more theta decay In bonds and we do have a lot of short strangles on right now I mean with implied volatility the way it is Selling premium, you know is the name of the game and so that's why we have so many of those on right now. I Mentioned wheat Apple we've got this Long put vertical on that we've had for several cycles that we've been rolling Initially put this on to keep that short Delta in our portfolio and continuing to do so after earnings apple moved down and So that benefited our trade here and then it kind of bounced up and it's starting to look like it's gonna roll over again So just holding on to this. We'll probably roll this one again. We're in December though We've got 42 days. So if it makes a sharp move lower, we'll probably roll our Strikes closer to price and just continue to kind of collect that credit and keep that short Delta exposure If we get closer to expiration, we may roll that out to January, but a lot of time left DIA kind of the same story as the ES trade where prices has moved out of our range, but just holding on to this for short Delta exposure So still in December with a lot of time left. So nothing to do there EEM I mentioned EFA another short Delta exposure play This is a short call vertical and we're still barely within range here, but just looking for some downside to benefit that trade EWW I mentioned EWZ I mentioned Facebook FXI IWM. So we've got an iron condor in IWM Pretty well centered here with with some profit in this piece of the trade We're still we're still down a bit on the overall IWM trade, but battling back nicely. So just playing the waiting game there. I Mention IYR Netflix we put on a I mentioned that one we put on that short Short call vertical for some downside and we've got some profit. They're just waiting for some more QQQ's These were two sets of short call verticals that were originally part of an iron condor and We've continued to roll those for a few cycles to keep that short Delta exposure So just looking for some downside to benefit that piece. I mentioned SMH SPY we've got a short strangle on an SPY it was moving up here close to you almost close to needing an adjustment, but bounced Bounce back lower nicely. So we're up a little bit on the trade just waiting for a little bit more down movement and or time to pass Before we do anything there VXX, okay, so this is so VXX is obviously inversely correlated to the market And we put this on when implied volatility is high We got that big pop in in that initial drop in the stock market and then it continued and it ripped higher I was looking to put on another one here to add to this But I wanted I was wanted to see if it was gonna get a little bit higher meaning the market was gonna continue lower It never did so I never got it on and of course it just dropped So we we would have had a nice trade there playing the hindsight game a little bit Which I don't like to do but you know just just kind of giving you guys my thought process And then and I mean this thing just contracted like crazy After the mid-term election Price was right here. I mean it was right almost back to break even and I put in a couple orders Briefly just to see if we get filled at break even it not didn't quite get there and then with the market drop The last couple days it's bounced back higher. So this is in November. So we've only got seven days left So we will be taking this off Regardless next week winner or loser. Obviously if the market goes higher and we get some more contraction here We might be able to squeak out a little profit. If not, we we may just book a loss on this one But we'll see what happens next week XLK we have this on for some additional short delta exposure. See price is pushed up Barely out of our range here. So just looking for some downside to benefit that and then XRT We've got a short strangle on here hanging out near its upper end of its range So just looking for a little bit of downside to you benefit that piece So those are all the alerts. Those are all the trades We are we are using pretty close to the maximum amount of capital right now that we want to use based on the overall account size so You know, we started this year with the alerts portfolio with a little under 70,000 and we are up to well with Today, we're right around 95,000. So we're using a little under $50,000 in buying power for all of our positions And so probably won't be adding any until we take a couple off. So Still in a good position. I mean with high implied volatility That's where you want to be you want to have a higher allocation of your account But you don't want to we don't like to go over that 50% of capital used At any time regardless. So we're kind of at that max point of the amount of capital we want to be putting to use at this time and Hopefully things cooperate and we get some contraction and or moves in our direction in the different symbols And we can book some profits and then continue to add and that's the that's the name of the game Just continuing to add positions book profits add positions book profits make adjustments as necessary Remember to stay small stay mechanical and and everybody have a great weekend and we'll look forward to some more trading next week Talk to you later