You are viewing the chat in desktop mode. Click here to switch to mobile view.
X
Live Chat
powered byJotCast
Prev Page View Full Chat Next Page
Rick Berry
1:14
Think its a good idea to put in aggressive order, and to let it go if not filled.
Mentor Mike
12:55
Holy!!  We can't wait to tune in for the draft!
WATT
12:55
Tell Mr Pirate the buzz here in Houston is that Clowney is going to be available for trade tonight during NFL draft
Mentor Mike
12:48
** About to start back up now **
12:47
I know tomorrow Preston will spend a little more time looking at the SOB trades and can review the structure some more then
Guest
12:46
Can PJ take a moment to review the structure of those trades?
Mentor Mike
12:39
(Put spread on TTD)  He also placed orders on AZO and NTES but they haven't filled... those weren't as favorable and he was being more aggressive with his order.
12:35
Yes Preston did place a SOB trade on TTD right before the break
AL Simmons
12:34
M power went out. What were the SOB trades he initiated?
Mentor Mike
12:33
Probably starting up in about 15 minutes or so...
Sandy
12:33
Are you all back yet? Nothing showing on screen.
Mentor Mike
11:46
** We are breaking for lunch.  We will start back up 12:45 PM Pacific Time **
DENNIS T
11:44
that's the one!!
Mentor Mike
11:39
Yes exactly.  If the stock stays out of the money you can just let it expire and you keep the .50 credit.  If it moves in to the money we would need to adjust/manage it like Preston discussed earlier.
Todd Marentis
11:38
So do I let this expire tomorrow?
Guest
11:37
I got filled AZO 1020/1015 at .35
Todd Marentis
11:37
I got filled on AZO for .50.
Mentor Mike
11:20
Maggie just mentioned the same one!  Nice!
Hank
11:20
AZO
Mentor Mike
11:19
He looked at it as an example of one to consider... he didn't personally place the trade though.  Earlier today he already had traded MMM (call credit spread) and on NOW with the put spread
Brad Lauer
11:18
Did Preston say that TWLO is a solid SOB?  He talked about bad things in there as well so I didn't know if this was a go or not.
Rick Berry
11:04
Chuck P. Ideally, you can let short expire worthless. Also you can just buy back shorts for cheap. Or buy back spread to close.
Mentor Mike
11:00
If the SOB is out of the money then you don't need to do anything.  You can let the trade expire worthless after the close/over the weekend.  If it starts moving in the money or close to your sold strike price, then you buy to close the short leg and sell to close the protection leg.
Chuck P
10:59
What are the exact moves to close out friday's SOB?
Mentor Mike
10:59
Armin - he also started talking about NOW... that is the chart on the screen now
10:57
He was going through TWLO as the SOB example
Armin
10:56
What stock are you talking about for a put credit spread?
Mentor Mike
10:55
I don't have the option chain up right now, but usually the tighter spread is going to be more efficient... ie, better ROI on risk.  The tighter the spread the higher number of contracts you'll need to trade to get a decent profit so there is a little balance between the two.
Jay F
10:54
For TWLO 128/124 works out to 5% return and 128/125 is 6% return with less risk.
Mentor Mike
10:49
Yes we will get these documents and copies of the slides out to you!
Guest
10:48
Mike, the doc that he's reading from - will that be included in the slide deck you're sending?
Mentor Mike
10:47
Yes with the SOB strategy we are looking at the options that expire tomorrow (Friday the 26th)
Sandy
10:46
Are we looking at current week exp date on TWLO? Don't see those bid/ask prices.
Mentor Mike
10:45
Good point... The tighter the spread the less risk.  It also decreases your overall credit.  So you can do more contracts with the lesser risk to still make a similar profit.  Just run through the math and you can decide what's best.  (consider your commission structure too)
Guest
10:44
TWLO - Try example at  128 / 125 with only $3 at risk.
Mentor Mike
10:40
Sorry Dennis, I meant to share your comment earlier!
DENNIS T
10:39
FOR THE BLDG RESIDENTIAL/COMM I KEYED IN PULTE ON IBD STOCK CHECKUP AND UP POPPED NVR (RYAN HOME), TOL (TOLL BROS), DHI, LGIH, AND PHM (PULTE).
Mentor Mike
That's what this one is showing on the screen now
10:33
Preston usually uses daily charts, looking at 12 months of time
Chuck P
10:32
what period of time are these charts?
Connecting…