As mentioned yesterday, the market seems to agree higher levels were exposed. Futures are up solidly overnight and look like a rising wedge pattern which could break to the upside as long as ES 1447 holds.
On the S&P cash, 1457.14 looks in jeopardy. 1460 or higher could be seen.
Lucky for me, when I saw that the downside was not probed as much as I expected yesterday afternoon, I reloaded with SPY 145 calls after selling them earlier in the day. Earlier I bought SPY 145 puts, took a little heat, then hedged them later in the afternoon, once with the e-mini (ES) and then with the 145 calls.
Today it looks like I may dump the puts. Of course I wish I kept the ES, but that's not its function for me. I'd rather use it against other positions as needed.
On AAPL, I couldn't resist dumping the 665 calls as the upside progress seemed to pause. I took advantage of an up down sequence around 10:00-10:30 that gave me a chance to unload the 665s and buy 670s. What seemed like a great price at the time -- $7.75 -- ended up leaving a lot of money on the table. But with an unfilled gap below, and an average price of $3.50, I took the 2X money. Then I reinvested in 670 calls when it looked like the gap was going to remain unfilled. Average price on these is $3.25.
We'll see what today brings: 2 days until expiration and AAPL is down in the pre-market. Look for the premium to get squashed. But if it stays above 664.75, there is a 1:1 Fib extension target at 683.53. Only thing is, does it take a longer pause before it makes the run?
Today a new set of AAPL weekly options come out (as yet unpriced). I will establish a position in those so that I can dump the 670s if it looks like AAPL wants to rest.
No comments:
Post a Comment