070719 screenshot gld strangle options trading stock etf 1024x320

GLD Strangle Opened 062619 Closed 070719 $61 profit

Gold presented a good opportunity to sell short options premium recently (Summer 2019).

The IVR (Implied Volatility Rank) was almost at 100% when I placed a short strangle options trade in the GLD etf.

The interesting thing about this is that the implied volatility increased as the price increased, which is the reverse of most stocks.    Implied volatility usually increases when stock prices drop.

 


 

I sold to open the Oct18 -123 put and -147 call for a credit of $1.56 on June 26, 2019.

This trade was placed 114 days from expiration.

070719 screenshot gld strangle options trading stock etf open trade

 

 

 


Here is a screenshot of the trade.

070719 screenshot gld strangle options trading stock etf







 

 


 

I closed the trade on July 7, 2019 when I reached close to 40% max profit within 2 weeks of opening the trade.

I bought to close the Oct18 -123 put and -147 call for a debit of .95 cents which gave me a $61 profit.

This trade was closed 102 days from expiration.

070719 screenshot gld strangle options trading stock etf close trade

 

 

 



 
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