We've got a few trades on the books that need to be closed or adjusted right here.
This trade has been on for 3 months and has been a decent hedge.
It was first a set of bear call spreads, then rolled to diagonals and calendars...
and right now it is a combination of a bear call spread and a bull call spread. Here is our risk profile:
As it stands, this could be at full gain or full loss depending on what the market does in the next 2 hours. Not a fun place to be if you're wrong.
Close out the position. To do this, simply buy back the 121/123 call spread -- and let the 126/127 call spread expire worthless.
This trade is at an oh-so-slight gain (+70) and I'm looking to maintain bullish posture here.
So do this: buy back the Dec 100 call for .01, and sell the Jan 105 call for .42.
This will further reduce our risk and keep us in one of the stocks that has held up the best this quarter.
We have *entirely* too much directional exposure right here.
Check out our risk profile:
Here's what we will do:
This reduces our delta from +94 to +22. It reduces our potential reward (this was expected) and doesn't change the margin requirements.