 Hey everyone, welcome to this week's video update today's Friday, April 17th Hope everybody had a great week of trading this week Before we jump into the alerts talk about who got caught being hot this week goes to Kelvin Q, you know, I think a lot of people get into trading and With the mindset of it's easy I mean all you got to do is push a button and if you hit it right you can make money and so they come in with the mindset of really easy money and As all and I know I'm preaching to the choir here I know all of you know this but for for newer members who who come in thinking it's easy That's obviously not the case right anything worth Doing anything that is potentially as profitable as this can be for you. It takes hard work. It takes discipline takes experience Kelvin's come in and he's just he keeps asking really great questions in the community Which helps other new traders as well so I could tell he's putting in the work and You know really trying to understand and I always appreciate people who come in with that type of Mentality so keep up the heat Kelvin. You got caught being hot. Let's go to the alerts a little bit light on the alerts this week Just you know kind of letting some of our positions work for us But let's start with the first trade of the week and IWM didn't rolling adjusting trade This one was down to four days to expiration so we rolled it out skipped over may just went out to June to give it a little bit more duration and That's one of our short Delta trade. So let's look at IWM Right here So we've got two different pieces here. This is the one that we just rolled out to June and Widen this out a little bit for you. You see price is pretty close to where we put it on so not much movement Well some movement, but it ends up right now kind of back where we put it on and then this one is just right outside the range So again holding both of these for that short Delta exposure if we ever get it down move in the market again It's kind of baffling this this raging rip higher in the market Next trade rolling adjusting trade in NG so a natty gas we had a short strangle We rolled this we adjusted our calls from 192 to 190 had a conversation in the community about this Why did we why did we roll? Roll those calls that way kept the puts the same the reason the only reason really was because there was no 1.92 strike out in the 43 day cycle So we just had to take the closest thing to it still did it for an overall credit See we bought this one back for that sold for that the net net credit So that's what we're looking for when we roll strangles and so now we've got a 1.90 straddle and Let's take a look at that. Natty gas is up a little over 3% today. So price is pretty well dead centered We've made back about 360 bucks this week since we did that roll just waiting for some more time to pass working our way back To some profits in Natty Next trade opening adjusting trade in ES So we added a long put vertical in ES just to add some more short delta exposure and so we've got two sets now We take a look at ES One of which and we did these in in just slightly different expiration cycles to kind of keep them track This this one is is way out of range So we need some some down movement to get back in and then this one is the one We just put on and price is pretty close to where we put it on so Remember as we've been just rallying higher You know, we've just been consists, you know consistently slowly methodically adding in some additional short delta I've talked about in a couple of the weekly trade hacker updates that we're definitely not overly short In fact, I wouldn't mind even getting a decent amount more short delta on But we've just been kind of layering in as this thing's been going up And we're about one-to-one on our on our short delta versus our theta. So certainly not overly short You know days like today when Apparently gild came out with a with good news about a vaccination for the coronavirus had a big up move overnight S&Ps were up over 90 overnight Up about 41 now. So definitely come have come off their highs You know, it kind of goes back to everything I mean, you know when when this was happening, it feels like it's never gonna go up again And when this is happening, it feels like it's never gonna go down But I assure you it will we just don't know when so just Accumulating a little bit of short delta here and there rolling down our you know Extending duration on our current short positions. And so that's part of what we did here with this ES Next trade closing adjusting trade in CL. So we had two different short strangles on in CL We closed out one set booked over 50% of max profit on that piece Obviously still working our way back after that massive move that we had to battle in oil you know after the Saudi-Russian deal fell apart and What's interesting is is apparently the you know the 23 country OPEC agreements in place and oil production has Been reduced, but yet oil is still going down. So go figure We'll see what happens. I do want to add again to this. So let's look at our current piece in oil It's this inverted strangle that we've got prices hanging out right here in the lower end of our range So we definitely could use a spike higher in oil to benefit that But I will be looking to add another centered short strangle around the current price and we'll do that in oops We'll do that in this one's got 27 days to expiration So we'll do it out in the July cycle and next week that should be under 60 days if I remember, right? And Come on come on. Yeah 61 so next week that'll be under 60 days And so we'll look to add next week in oil Next trade closing adjusting trade in GC. So we had a we had two pieces on we had a full iron condor Which this is what this alerts about we booked over 40% of max on that piece of the trade And then we're still holding our call vertical from our previous iron condor. So if we take a look at that Golds come down nicely down 2% today. So almost back into range hanging out right here If we get back into this range here, we'll we'll take that off and end up booking a winner on that piece as well In the meantime, we're gonna add to this again next week So we'll add another iron condor centered around the current price wherever that may be early next week and This this current piece right here. It's only got 10 days expiration. So we'll be closing that out next week Regardless of it's a winner or a loser Don't really have a major directional bias and goals. I don't plan on rolling that. So we'll just close that out We'll add another iron condor in Next trade opening trade Did a a new weekly double calendar? So Okay, so had some questions about this and I want to I whenever this a couple weeks ago in the weekly video And I'll kind of reiterate my thoughts and So here's the deal whenever we Whenever we put these on You know, we've we've been pretty consistent about staying in kind of that six to eight days to expiration in that front week But there's been some questions about why are we why are we using such short duration between the front and the back weeks? Only three days Whereas in the course we talked about, you know selling the seven in the front week and doing, you know Buying closer to the 21 in the back week in in I think in normal market conditions, whatever Take that how you want in normal market conditions That that's a that's going to be a very viable way to do it What we've found is that in periods of extreme volatility You can get a little bit more bang for the buck by using shorter duration Between the front and the back week and here's what we're looking at So we you know, we you know in an ideal world we want to Sell the front week which has higher volatility So in this case the seven days have 35 point two one currently and the back that we're buying has lower Volatility so we're selling the options with higher IV. We're buying the back week with lower IV and this this works You know, if you look down the line, you don't get it really a situation at any point I mean this one is a little bit higher than this one You know, but everything kind of evens out after that and so We're just trying to take a take advantage of the difference in the high versus low In the front versus back and so that's why we're why we're doing that and that does a couple things one if we were to Sell the seven and buy the 21 a your buying power Requirement is going to be Significantly higher, you know, I mean it's gonna be three four five six seven seven thousand dollars a contract I can't remember what it would have been on this but Whereas this one, I mean, we're talking about, you know under a thousand bucks to enter this trade I think we put this on for nine ninety five or something like that And so that's part of the reason The other reason with high implied volatility. We're able to widen out these strikes and we're talking about the two 2690 and the 2860 when implied volatility is high you can make this wider get a higher probability of profit and still a really good You know profit potential especially based on the amount of capital that you're using so that's the that's that's the rationale for why we're doing this when we are you know when implied volatility changes when when implied volatility Financials between the different weeks is doing what it's doing. You've got to adapt And that that's what we're doing here. So I know, you know, some people kind of get frustrated They're like well, you're not following what you said in the course. Well, yeah, but this is real life trading I mean, we're trying to set the criteria in the course as a good of a foundation as we can and give you a basis to work on But but there's always gonna be you know situations where one one way works a little bit better So don't get caught up in in that too much Kind of watch what I do not what I say kind of thing. I guess I Mean we you know in the courses we want to be as we want to follow that as exact as as possible Don't get me wrong But just keep in mind that trading changes markets change environments change Volatility changes all that stuff. So things are things are gonna change and well We're actually gonna be going back through and updating a lot of our courses because a the other thing is we continue to learn Right. I mean, I don't I've never been the type of person says I know everything and so I continue to learn stuff about trading every single day A lot of that comes from you all in the community sharing ideas I mean, you know Tim wise started trading his version of the double diagonal and that just Sparked a little bit of ideas that that I had and I started messing around again and just just looking at different probabilities and and different strategies around on that same basis and you just you find Little nuances and little things that can really make a big difference that can create a little bit more edge Theoretically in what you're doing and so, you know, while the courses are recorded and they're static We will be updating those to kind of You know define what we're doing, you know, the other thing is on rolling verticals or placing long put verticals or long call verticals specifically, you know, we've you know based on from what we talked about in the course as far as our delta selection versus Sometimes what we do now setting it up for a specific probability of profit I mean, there's a little bit of variance there, too But don't again don't get caught up in details like that, you know, we wanted we do want to stay mechanical We do want to have a set of mechanics, but you also have to be flexible from a perspective of what's going on in the market and in kind of what you're trying to accomplish with that specific strategy and What other positions you have in your account? So, you know, we do manage each trade individually, but we also manage them in the perspective of the rest of our portfolio So there's a lot of little nuances that we're you know We can't just teach in a video course that that also come through these alerts and through these update videos and and on and on So hopefully that helps give you a little bit of perspective on what we're doing there It's been just an awesome strategy here in this environment. So We'll keep doing them as long as there is the opportunity Next rolling just in trade in Apple So we rolled our long put vertical and Apple got down to one day to expiration rolled it out to June When I would and skipped over May give a little bit more duration because we already going to be holding this for that short Delta Apple one of the stocks actually down big today down almost three percent, which is nice because we're shorted If we take a look at a chart You can see You can see this little nice little down move we're having today where it's been pretty strong For the last couple weeks. So good relief in Apple Let's see next trade closing trade in SPY. Okay, so we had a another weekly double calendar did this one in spy You know, I got some clothes, you know, what's what's the difference? Why do you why spy? Why not SPX did 10 contracts? You could have done one in SPX Just trying to accommodate more members really I mean you could have done either I Did set it up in both and for whatever reason the pricing just looked a little bit better in SPY at the time that we put it on In the the other thing from an accommodating members perspective, you know You know some members not all not everybody can do SPX, you know It's a big contract and so doing it in SPY sometimes just gives you an idea of which strikes to choose and you can do a You know a fraction of that you can do one contract or two or five or ten or you know, whatever you want So but you know if you see something come on anything I put out in SPX you can do an SPY Anything I put out in SPY you can do an SPX. So that's just a preference in your your money management and account style So an in account size so don't don't get too thrown off on that But anyway, so we booked this today We had it on yesterday. I was considering taking it off I think we're we're up like four fifty to five hundred dollars somewhere in there I could have taken it off for and the theta potential I talked about this in the community The theta potential looked really good as far as leaving it on And so we decided to keep it and then right after ours the whole Gilead announcement came out the market ripped higher I'm like, we're gonna get crushed tomorrow. We're gonna get the big move and the IV crush should have taken it off But actually this actually performed very well We ended up taking it off for like 750 bucks of profit. So good hold and good Good that that's the that's the weird thing about these double calendars is the you don't always know If the front week's gonna contract more the back week, especially when they're this close together. So performed well for us and Took that off booked a nice winner Rolling adjusting trade in DIA. So we rolled one set of our short call verticals This one was in May at 28 days rolled out to 63 to extend duration Also price was just so far out of range that I wanted to get back into range get this back into a positive theta situation So we adjusted the strikes as well So if we go to DIA So here's what we got here the 250 255 so pretty close to where we rolled it Just did that today and then our other piece is out of our range Scooch this in a little bit So we need some downside to get back into range on that one And then lastly did the same thing in QQQ had a had a May set of short call verticals rolled that out to June Adjusted our strikes This thing was just way out of range very little chance of getting back into range And I didn't want to just sit there and let the rest of the theta decay So we went ahead and rolled it and you can see we've made back about 50 bucks since today that we rolled and Then our other one out of range as well pretty similar to the DIA one Just needed nice move down to get back into range there. So those are all the alerts Let's take a look at for some of our other positions starting with 6e the euro now This one's at 21 days to expiration and so we certainly could have rolled it today But I'm just I'm hoping for just a little move higher over the weekend or you know early next week and Just you know book a little bit more before we roll Like I said, we've got 21 days So, you know that that's a that's another thing to you that 21 day mark is it's not like things get completely crazy between Day 21 and day 20, you know, it's right when you get down to 21 days That's when you want to start think about rolling. So anywhere from 15 to 21 is just fine And so just holding this see if we get a little bit of a bounce higher over the weekend and we'll roll this out to the next cycle. I Mentioned cl I mentioned. Yes, mention GC mention Natty Bonds bonds are actually down half percent now. They were they were kind of flat most of the day And they were actually down a lot last night. They've been they've been a little bit wild, but So we've got let's see It's this one here and this was way up here I'm so close to closing this out and taking that and then just kind of reducing our exposure Holding the other one and then it ripped back higher. So we're gonna we're gonna hold on and wait So that that one price is hanging out right here. We've made about 2200 since the roll and then this one here We're let's see Yeah, we're up about 760 since we did the roll So still we're obviously working our way back to profits in in in bonds, but I'd love to get a move lower Take one of these offs that we reduce our exposure and then you know, let some more theta work for us Let price move around and then add back in that would be the the ultimate goal here If we take a look at the chart of bonds You can see if we could get a little bit of follow-through from today, you know, I mean just a little bit We that would help us significantly on our bond position. So if that's where we're at there Wheat we've got an iron condor in wheat pretty centered here Just wait for some more time to pass. I mentioned Apple DE up big today up almost four and a half percent So we've got two different short call verticals that one's way out of range needs some downside to benefit that This one just barely out of range. So Again, just holding these for that short delta exposure DIA I mentioned that IWM I mentioned QQQ I mentioned SMH so we've got this adjusted short strangle in May prices hanging out right here and We will We'll look to roll this as we get closer to that 21 days. We're at 28 So we'll do this at the end of next week or early the following week SPX I mentioned SPY alright, so we still got a couple different things in SPY one of which is a bunker Price is hanging out right here. So it's gone up a little bit since we put this on This one's out in July. So this one's got decent amount of time 91 days So no no worries of continuing to hold that one for a while. And then we've also got an iron condor And prices hanging out right here in the upper end of the range So if we get a little bit of down movement, that'll bode well for that. I see Win big move up today. Disappointing up 6% not what we were looking for You know wins been on a nice little tear to the upside. So apparently they're Expecting people to get back to gambling pretty soon here But we've got this we've got this bunker trade on so on this June we're down to 63 days So early next week, we're gonna be taking this off You know the we want to take this off when we get down to about 60 days to expiration So we don't get caught in Death Valley down here And so we'll probably take a loss on that unless we get a you know big move over the weekend XBI we've got a short strangle on I've talked about this in Talked about it maybe last week, but we're obviously well over 50% of max profit This is an inverted strangle. So it's already been adjusted. So we're just working our way back to profits Pretty close in XBI This one has 28 days to expiration and next week will be under 60 days in the June cycle So next I'll just wait giving it a little bit more time in this cycle and then early next week we'll roll that out to June and And then we are pretty close to get back to even on that one XLI another bunker This one's not working out too well either. This is in June. So we'll take this small loss Early next week in that one as well And we might look to add, you know another we're gonna be taking these off So we'll be looking to add in something maybe we'll just add back in and in in XLI I won't add back in and win because there's earnings coming up. So Not really the best strategy to hold through earnings XLK another short Delta position. This is a long put vertical This is another one that's at a range to a point where you know very little chance of getting back So early next week will probably roll this one out to June as well Excuse me, and then lastly XRT now this one's a little bit different Now this one is in June as well So we're next week we're going to be in that 60 DTE range But look at the slope of the P&L line here, you know prices right here. So But I mean look at this It's not like this has even started to sag at all and so, you know, if we get a down move a implied volatility is gonna push This P&L line up and so I don't mind holding this a little bit longer than 60 days Maybe we'll take off one of them early next week But we will potentially hold this a little bit longer just because of the way that this is continuing to to slope So we can't really get hurt too much Obviously we can't get hurt much if it goes up from here and then if it goes down, you know It really starts to accelerate to the upside. So if we get a quick move lower in XRT, we still get some benefit out of that So we may hold that one a little bit longer But it'll be a candidate to add some new ones, too If we do close out just add some fresh ones on out in July or August. So that's the plan Those are all the alerts. Those are all the positions. Hope everybody has a fantastic weekend. Talk to you next week