Dealta Airlines correction, playing out with naked put option.
Reasons: - high reward for next monthly expiry (mangeable with rolling) -> collecting credit - breakeven point is far - RSI is oversold.
Max profit: $92 Probability of 50%Profit: 78% Profit Target relative to my Buying Power: 16%
Req. Buy Power: $558 (max loss without management before expiry, no way to let this happen!) Tasty IVR: 96 (very high) Expiry: 16 days
SETUP: NAKED PUT for DAL, because IVR is high, for 0.92cr * Sell 1 DAL DEC17'32 PUT
Management: ROLLING if daily candle is closing below of BE.
Take profit strategy: 50% of max.profit in this case with auto buy order at 0.46db
Of course I'll not wait until expiry in any case!
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50% of full profit, target reached. I've collected 8% profit realtive to my buying power in one day. Price moved up and IVR lower. Nice naked put trade, I like these.