you are viewing a single comment's thread.
Hi DocAre you looking for a pull back in EPD as well?If so to what pps and what contract month are you looking at?thx!Roy
Hi Roy,I base my entry possibilities on this graph:http://finance.yahoo.com/q/ta?s=EPD&t=5d&l=on&z=l&q=l&p=&a=&c=evepThe one that pulls back the most(%) toward Dec 30th baseline will be the corresponding higher(%) weighted for funding.As I have posted, you will then get the nearest ITM FebCall(around Jan OPEX or major pullbacks(1.50+EPD; 2.00+EVEP) to within 1.00 parity, and ride to DBEX(Day Before EX). You might need to short the corresponding shares on the DBEX and cover with your exercised Calls to get the best price.If you don't get that I can explain in more detail.Good trading!
Got it, having the entry point and why along with the contract month helps a lot Doc, thanks.Not sure about shorting the corresponding shares and exercising the contracts - how does this play into the strategy?
You know Roy,I should be looking over your shoulder. I remember that you were the one that made 160K in Dec on that 1990+ AGNC trade.You must be multiplying my 25K model portfolio by a factor of about 100-1000....;-)Best of luck to you!
Hi DocThx for the insight.Actually it was a total of 2k contracts ( sold 10 the previous week) ;-)I'm a "go long" type of options investor. Trying to learn the nuances of different types of options strategy. Since I'm new to EVEP and EPD probably will take much smaller bite than of AGNC .My strategy this quarter is to go long April AGNC Calls after the SOP or some bad Euronews. If it's not broke don't fix it, lol!However, def aware that it can't last forever and scouting new oppty's.!Appreciate all your help!