TBO - NBIS Update 7-16

7-16

NBIS call spread into ~0.26. Consider buying it back.

BEARISH– Selling CALL Vertical

NBIS $198

Consider selling the NBIS 24JUL 247.5-257.5 CALL spread for roughly $1.10(min $0.90) with stock BELOW $199 (current $198)

Consider NBIS 24JUL 247.5-257.5 CS

Risk: $10 vertical spread less premium collected of spread of $1.10 = $8.90 of risk

Max reward is $1.10

ATR: $24.62

Straddle: $38.4

Morph levels: Stock ABOVE $237.26 (7/2 High) consider making an adjustment with market that is moving HIGHER!

7-15

MSFT put spread into ~0.35. Consider buying it back.

MSFT

Buy 350 Put
Sell 360 Put
Sell 407.5 Call
Buy 417.5 Call

Minimum $1.90 with mid around $2.15

Technicals: Straddle is $19(IV Move on TOS is $19.63 ) and strikes are $26 to the downside and $21.5 to the upside. The Average True Range is $11.84

Risk: The total risk of the trade is defined by the distance between your long and short strike of your spread ($10) minus the amount of money that you sold the Iron Condor for.  For this spread we are getting around $2.15 so our risk is $7.85

Reward: Our reward will be maxed out if the stock stays between our two short strikes and will be equal to the amount you sold the condor for.  Maximum reward would be $2.15

Adjustments: Our upside morph will be executed only when the stock has broken up above our upside resistance line and commences a technical breakout. Our downside morph will be executed only when the stock has broken down below our downside support line and commences a technical breakdown.

***Trade Management: For those wanting to reduce their risk sooner, these levels can be used as breakouts for an early morph:

Upside early morph levels that can be considered: $402.51(50 SMA)  with the stock moving higher

Downside early morph levels that can be considered : $373.35(7/9 Low) with the stock moving lower

7-15

PANW put spread into ~0.50. Consider buying it back.

BULLISH– Selling PUT Vertical

PANW $350

Consider selling the PANW 24JUL 312.5-302.5 PUT spread for roughly $1.00(min $0.90) with stock ABOVE $348 (current $350)

Consider PANW 24JUL 312.5-302.5 PS

Risk: $10 vertical spread less premium collected of spread of $1.00 = $9.00 of risk

Max reward is $1.00

ATR: $16.65

Straddle: $29.7

Morph levels: Stock BELOW $320.59(7/8 Low) consider making an adjustment with market that is moving LOWER!