Last day of 2024! Happy New Year everyone and wish all good trading in 2025. Today we opened 2 Double Eagle trades.
Trade 1. EA Double Eagle
Exit
Total PNL (before transaction cost): -60.8%
Update 1/30: Bought back F5.31 120 C for $0.07, and exercised G5.7 140 P. The 155 call spread is worth $0 so will just let it expire.
Update 1/24: I did get assigned on the short 140 P. Sold F5.31 120 C at $1.05.
Update 1/23: news came out about week Soccer earnings and EA sold off for 18%… The call spread is obviously worthless, and there’s a good chance of assignment on the short put. Still holding on to the whole structure and preparing to sell some covered calls if assigned.
Enter
- Earnings release date: 2/4
- Trade: F5.31/G5.7 140/155 STG SWAP
- ToT stats
- Vol: F5.31 @ 21.5%, G5.7 @ 27%
- Underlying: $146.93
- Premium: $2.5
- DPR: 1.7%
- SPR 10.2%
- Expected IV build: 20%
Trade 2. PEP Double Eagle
Exit
Total PNL (before transaction cost): +12.8%
Update 2/3: ER date is Tuesday so had to close the trade. Closed another 2/5 of the positions at $1.68 and the remaining 1/5 at $1.58.
- Close stats
- Vol: G5.7 @ 40.5%
- Underlying: $149.50
Update 1/31: PEP has sold off to the middle range. Let the short strangle expire.
Update 1/28: PEP rallied close to the call strike. Closed 2/5 of the positions at $1.9.
Enter
- Earnings release date: 2/4
- Trade: F5.31/G5.7 145/155 STG SWAP
- ToT stats
- Vol: F5.31 @ 19.5%, G5.7 @ 19.5%
- Underlying: $151.56
- Premium: $1.55
- DPR: 1.02%
- SPR 6.6%
- Expected IV build: 7%
