 What's up Navigation Traders? Today is Friday June 22nd. Welcome to this week's video update. Hope everybody had a great week of trading. Let's jump right in. Starting with the trades on Monday the 18th. We did a rolling adjusting trade in the Euro 4 slash 6E. So we're just under we're at 18 days to expiration. So just as we teach once we get under that 21 days to expiration when we're trading uncovered positions like strangles and straddles. We like to roll that out to the next expiration cycle. And in this case price had come down testing our downside short strike and so we needed to roll our calls down as well. So we just did that all in one swoop. Now remember when you're trading options on futures you don't have the rolling functionality like you do on regular equities where you can just do it in one one roll. So in this case we bought back this strangle and then we sold out the new strangle with the adjusted strikes as well. And so we bought back July one and then resold this in August with the new strikes. And so what that looks like now is let's go to the analyze tab and you can see with this up move today price has come right back into center. So we're up a little bit this and actually after after adjustments we're basically at about break even. So just holding waiting for some more implied volatility to contract some more time to pass before we take this one off. If it does if price does go to one of these break evens more than likely we will add another short strangle assuming implied volatility stays relatively high which right now it is at the 55 and that's 57 60 range on the indicator. So we'll see what happens next week. We'll continue to manage that as needed. Next trade was a closing adjusting trade in wheat. So we closed out the call vertical side of our iron condor because price had breached our downside break even. And so if we take a look at wheat we're actually hoping to get out of this trade but unfortunately price came down came through our break even so we just closed that out still holding the put vertical side and then we also put on another full iron condor late last week to collect some more credit and just to continue with that adjustment. And so you can see that one's still fairly centered and a little bit of up move a little bit more time to pass before we can book anything there. So looking for a little bit of upside in wheat at this point. Next trade was a closing adjusting trade in EWW which is the Mexican ETF. So we had two different strangles out we closed this one out booked almost 50% of max profit and then we're still holding our other EWW trade which oh I'm sorry actually that was another alert so we entered a new one so let's let's just finish on EWW here so um then what we did up here was here it is so we closed out the uh the adjusted one which which happened to be a straddle so we closed that out ended up booking a nice winner on EWW and if we go to the closed trades because that was that's when we fully closed that out so here you can see open this up started on 425 had to make a few adjustments couple rolls ended up booking a nice profit of 308 on that and then the uh the strangle that I showed you was was later in the week on the 21st which was yesterday on Thursday we opened up a new strangle because IV percentile popped its head back up at the 91 level on the indicator and so that's the one that you see here is this is this new strangle so still holding that still very centered nothing to do there let's go back to the order here um so that was the closing trade in EWW then the next trade was we uh a closing adjusting trade in EWZ so kind of a similar situation we had two different positions on an EWZ booked this one for over 35 percent of max profit just had that on for 11 days and then uh the next alert went out was an opening adjusting where we opened up a new strangle you know EWZ the next day in August because IV popped up again at that 93 level so if we take a look at EWZ now we've got these two different positions this is the one uh from the alert that I just mentioned still very centered nothing to do there and then we have this adjusted one uh that's still in July which we've still got 29 days in July so nothing to do here yet except for weight you can see price has moved considerably uh outside of the break even after the adjustment but remember after we make an adjustment we want to check out how much premium is in that untested size so if we click off the puts and just check on the calls you can see we've still got a lot of premium left in there for the profit line to reach that that expiration line so still continue to hold that you know if we get a bounce back obviously that's a good thing if it continues going lower we'll continue to roll these calls down lower probably go inverted and then once we get under 21 days to expiration we will roll that whole thing out to August and just to continue to be mechanical with our adjustments there next trade was an opening trade in EEM so we sold a strangle in EEM IV percentile got up to 79 so this one is still pretty centered got a little bit of profit there already but not enough to take off yet so we'll just continue to watch that next trade was an opening adjusting trade in corn so we had one iron condor on in corn price came down and so we just went ahead and added another one to collect more credit and kind of widened out our overall position so if we look at corn we've got this iron condor on here with three contracts can see we got some profit there not enough to take off yet and then the other one is with two contracts and I like to I like to vary the number of contracts a little bit just to make it easier to keep track especially if you're in the same expiration cycle in this case August and so this is the one that's kind of hanging out near our lower end of our range but still well within our range nothing to do there yet except for weight and maybe look for a little bit of a an upswing in corn before we manage that one at all next trade was an opening trade in fxi and I went ahead and did a butterfly here just a tighter I wanted to do something to find risk if I did a normal iron condor then we're not collecting enough credit because fxi is only a 40 some dollar symbol so you just don't collect enough credit so we went tighter and ended up doing just a butterfly ivy percentile get up to that 60 level remember we managed these at a lower percentage then we do our iron condors and strangles about 20 to 25 percent is what we'll look for and fxi moved down right after but it's kind of come back now and it's it's it's well within range so just waiting for some more time to pass in fxi we take a look at at the chart it's had a steep drop down which is obviously what pumped implied volatility up and so we're not just waiting for it to kind of settle down in a range here mix trade was a closing trade so we bought back our strangle in zn which is the notes ivy percentile contracted down to the 13 level had to make a few adjustments on this trade but ended up booking a nice winner if we take a look at the remember we look at tlt for the indicator because it does not it's not accurate on the actual future and you can see implied volatility now in tlt very low so we'll wait for that to come back up before we enter any any new positions in the bonds or notes or tlt or anything like that next trade that eww already mentioned that one uh mentioned both of those eww trades and then uh we had a we had a post earnings most of the earnings announcements already done for the quarter but a couple stragglers and kr kroger had a had an earnings announcement and and they had a it had a huge move up so just like we teach in our earnings course on the lesson on post earnings trades short uh short puts and short put verticals on post earning trades if price if price opens up above the expected move then we look for price to stay steady to higher so we like to sell puts or sell put verticals in this case we sold a put vertical and um and so if you take a let's take a look at at kr because we actually took this trade off just one day later for a profit so we put it on down here and as we had hoped and expected price continued higher now right after i sent the alert out um anyone who's in this trade could have actually gotten out at actually much better prices than us so you know that's just part of the game sometimes you get filled at better prices sometimes not quite as good but all works out at the end uh and if you're still holding this at this point you're you're uh you're doing even better so nice trade there we were able to get out for a uh nice profit booked over 45 percent of max profit in less than 24 hours so that was a that was a nice easy quick trade so those are all the alerts let's go over some of the other positions that we have uh oil big move up today up over four and a half percent if we take a look we had rolled down our calls and adjusted the strangle now prices come all the way back so sometimes you get whips out on these a little bit but still continuing to manage and we will look to potentially add another piece to this to collect more credit extend time on this one if needed if it bounces back and gets more recenter we'll just continue to wait until we need to close or roll yes we've got two positions on we've got our long put vertical which we're just holding for that short bias some short delta in our portfolio so just need a little bit of downside movement to benefit that and then we've got an iron condor here which uh get a little bit of down move should be able to close that piece out and we'll continue to uh extend duration maybe add another iron condor out in august next week depending on where implied volatility is but look for that next week natty gas we've got an iron condor got a little bit of profit there not enough to take off i mentioned corn i mentioned wheat uh apple so we've got this long put vertical also holding for some short bias short delta in our portfolio and start got a little bit of downside this week so that helped could use some more and we'll probably continue to to roll this once we get closer to expiration but we'll see what happens we may just may just end up closing it out depending on where things are depending on where the rest of our portfolio is dia we've got an iron condor on in dia and then we also have two sets of short call verticals which we're holding for some more short delta so you can see we've got some profit there just could use a little bit more downside to benefit that whenever eem ewewewz fxi iwm we've got an iron condor here could use a little downside to benefit that piece and then we've also got a short call vertical that was previously from an iron condor you can see prices just right outside the range there could just use a little bit more downside to benefit that and then the cues we've got a couple short call verticals here as well for that short these were previously part of iron condors which we've continued to roll and just looking for some downside there and then the same with xlk got a little bit of downside here could use a little bit more to benefit that so right now where we stand on our ratio we always talk about this ratio between our theta and our short delta when we're selling premium like this and doing these range bound trades it makes sense to carry short delta in our portfolio because the velocity of a down move a lot of times is more fierce than that of an up move also when prices move down in equities that also creates a spike in implied volatility so to protect ourselves we keep some short delta so right now we are at about two to two and a half to one on our ratio meaning we have about two and a half times the amount of short delta then we do of theta and that's right in line where we want to be kind of in that one to one or one to five at the max is the ratio that we like to look at we're about one to two and a half right now so perfect and we've got a good good variety of symbols I'd you know I'd love to put on some more positions in the next week if we have some opportunities but we've got a good diversification with the euro oil s and p's nat gas corn wheat some individual stocks apple the dow emerging markets mexico brazil china small cap technology so got a good variety some good uncorrelated positions which is what we like to always have and so we'll continue to manage those as needed everybody have a great weekend and we will talk to you next week