EWZ - (Short Premium) Selling straddle into high IVR

iShares Inc iShares MSCI Brazil ETF (AMEX:EWZ)

Mis à jour

AMEX:EWZ iShares Inc iShares MSCI Brazil ETF

trendanalysis supportandresistance supplyanddemand ewz emergingmarkets stockmarkets indicies shortpremium theta stockoptions straddle strangle

There is no real clear price action direction, this chart has even room to run in both directions, and the 'IVR is high which makes it a good candidate for a short premium trade. I am selling a straddle as I can collect 10% of the underlying in premium in just 46 days.

Transaction en cours:

Sold a number of straddles to collect $3.50 @ $37, 44DTE

Commentaire:

Rolled this into an inverted strangle with the calls now at 35. This cut my deltas in half so I am not as long. My plan going forward is if price pulls back into my inverted range of 35-37, when I get ready to roll into the next month I will re-establish a straddle.

Commentaire:

Closed this for a $4 debit. There is a ton of event risk here and the IV rank is at 17%, so it's just not paying enough premium for the risk being taken. If this crashes hard and volatility gets pumped back in, I will definitely be back to sell premium and work back the loss.

Clause de non-responsabilité

Les informations et les publications ne sont pas destinées à être, et ne constituent pas, des conseils ou des recommandations en matière de finance, d'investissement, de trading ou d'autres types de conseils fournis ou approuvés par TradingView. Pour en savoir plus, consultez les Conditions d'utilisation.