{"id":9376,"date":"2014-03-10T09:05:52","date_gmt":"2014-03-10T13:05:52","guid":{"rendered":"https:\/\/trades.iwopremium.com\/forums\/topic\/parabolic-vol-play-in-plug\/"},"modified":"2019-06-18T16:38:04","modified_gmt":"2019-06-18T20:38:04","slug":"parabolic-vol-play-in-plug","status":"publish","type":"post","link":"https:\/\/trades.iwopremium.com\/parabolic-vol-play-in-plug\/","title":{"rendered":"Parabolic Vol Play in PLUG"},"content":{"rendered":"<p>Honestly a straight short could work here, and I was looking at long puts straight up&#8230;. but I think there&#8217;s a play because of the term structure.<\/p>\n<p>First the trade:<\/p>\n<p>Sell to Open Mar 8 Put<br \/>\nBuy to Open Apr 8 Put<br \/>\nTotal Debit: 0.50 or lower<\/p>\n<p><a href=\"http:\/\/trades.investingwithoptions.com\/files\/2014\/03\/plug.png\"><img decoding=\"async\" loading=\"lazy\" src=\"http:\/\/trades.investingwithoptions.com\/files\/2014\/03\/plug.png\" alt=\"plug\" width=\"810\" height=\"566\" class=\"aligncenter size-full wp-image-1553\" \/><\/a><\/p>\n<p>Here&#8217;s why this trade works:<\/p>\n<p>1. March vol is 210% while April is 160%. The term structure is in the favor for calendar spreads<br \/>\n2. It&#8217;s looking for a pullback which is a high odds bet in PLUG<br \/>\n3. Only 11 days left to March opex, so a ton of theta is due.<\/p>\n<p>This is a fixed risk trade (no stops), and we&#8217;re looking for >50% return on our risk.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Honestly a straight short could work here, and I was looking at long puts straight up&#8230;. but I think there&#8217;s a play because of the term structure. First the trade: Sell to Open Mar 8 Put Buy to Open Apr 8 Put Total Debit: 0.50 or lower Here&#8217;s why this trade works: 1. March vol [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_bbp_topic_count":0,"_bbp_reply_count":1,"_bbp_total_topic_count":0,"_bbp_total_reply_count":0,"_bbp_voice_count":1,"_bbp_anonymous_reply_count":0,"_bbp_topic_count_hidden":0,"_bbp_reply_count_hidden":0,"_bbp_forum_subforum_count":0,"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":""},"categories":[1],"tags":[],"_links":{"self":[{"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/posts\/9376"}],"collection":[{"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/comments?post=9376"}],"version-history":[{"count":1,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/posts\/9376\/revisions"}],"predecessor-version":[{"id":12791,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/posts\/9376\/revisions\/12791"}],"wp:attachment":[{"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/media?parent=9376"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/categories?post=9376"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/trades.iwopremium.com\/wp-json\/wp\/v2\/tags?post=9376"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}