I sold my 13 strike UVXY puts.
music selection: “Jersey Girl” — Bruce Springsteen
I purchased UVXY180119P00013000 for 6.95 a share on 15AUG2016. I put in a sell order as the strike has moved into the money. I sold my contracts for 7.85 a share this afternoon. The trade was in force for 94 days and yielded an exceptional 50.28% annualized. I collected over 3.3k in profits on my 37 contracts.
I rolled down and out to the 8 strike with UVXY190118P00008000 and paid 5.65 a share. I’ll be looking to exit the trade after 30 days or when the strike moves into the money, whichever comes first. I’m keeping my allocation here to 10% of my IB account balance by cost basis. I also have an 11 strike play on this same theme in my IRA account that should move into the money and be ready to roll soon as well. Long dated, out of the money, puts on UVXY remains my highest conviction idea.
Devour your prey raptors!