Spread Trade on UUP

This week, KDK Options has placed a spread trade on UUP (US Dollar). An April $26.00 call option and an April $25.00 put option has been purchased. The cost before commissions and fees was $0.40. The goal of the trade is $1.00.

Reasons for the trade are below:

- Increasing rates

- Technical move up (Elliott Wave) beginning of Wave 3 (for call) or Head and Shoulders (for put). 

 ** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. If you would like up to the moment communication on KDK Options trades, email at kdkoptions@gmail.com **

Spread Trade on XHB

KDK Options has made a spread trade on XHB. A March $36 call has been purchased as well as a $32 put. The cost of the trade was $0.60 before commissions and fees. The goal of the trade is $2.00. Reasons for the trade are below.

- Technical wedge coming to a point.

- Support is at 30 and Resistance is at 38.

- Increased expectations of market volatility


** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

BABA Call Trade Started

KDK Options has started a Jan $110 call trade. The cost was $0.18 before fees and commissions. The goal of the trade is $0.75. Some of the reasons for the trade are below.

- Holiday Shopping Season

- There was an unnecessary sector rotation out of Net stocks after the election making this trade possible

- Positive GDP numbers out of China

** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

XLF Trade Closed For Profit

KDK Options has closed out its Jan XLF $20.00 trade for a profit. The call was sold for $0.81 before commissions and fees. There was a profit of $0.33 or 68 % before commissions and fees. Reasons for the trade are below:

- Presidential election
- Rapid Rise in trade
- Capital need for a different trade

 ** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

New Call Purchase for XLF

KDK Options has purchased a XLF January $20.00 call option. The cost of the trade was $0.45 before commissions and fees. The expectation is for the trade to get to $1.00. Some reasons for the trade are below:

- Banks are starting to move in a trend upwards
- XLF provides some protection in the form of diversification (avoiding a sharp Wells Fargo drop)
- Trading comps were up
- M&A looks to be heating up


** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

Square Oct Call Option Purchased

Hello

This week, an October $12.00 call option was purchased. The price paid was $0.40 before commissions and fees. The expectation is for the option to reach $1.00 before expiration. Some reasons for the purchase include

- trend is positive
- 50 dma crossing over 200 dma
- cup part of "cup and handle" formation being made
- Merger discussions heating up for Twitter
- gap to 13 needing to be filled


** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

TLT Put trade started

KDK Options has entered into a TLT $132.50 September 9th Put trade. The cost before commissions and fees was $0.40. The goal for the trade is $2.50. A stop loss level has been created. Some of the reasons for the trade are below.

- Technical top reached

- Continued uptrend in the stock market

- US employment picture picking up

 ** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **