by Joanna White | Nov 9, 2018 | Options trading
The broken wing butterfly (BWB) is an advanced strategy involving the use of multiple options. The butterfly strategy is generally thought of as a neutral to slightly directional strategy, which will often benefit when the market does not move too much in price. A...
by Tom Nunamaker | Nov 3, 2014 | Options trading, Trading
Jim Riggio put an SPX trade on about two months ago when the SPX was at 2000. Jim put a 90-day (DEC expiration) 1975/2000/2025 butterfly on. Nothing fancy or unbalanced. I put the same trade on the next day. Jim and I took two different approaches to managing the...
by Tom Nunamaker | Aug 22, 2014 | General
The Round Table meeting had two parts. Tom showed the SPX Broken Wing Butterfly trade he's been trading. Then Jim showed his VXX and UVXY volatility based trades he's been doing. We recorded this event and it is posted in our free members area. Get your free login...
by Tom Nunamaker | Jul 21, 2014 | Options trading, Trading
Time for a new trade in SPX. Another broken wing butterfly trade expiring on Aug 23rd with 33 days to expiration. The ten lot of puts are at 1945/1920/1860. The 1920's were about a -19 true delta (in OptionVue). I sold two lots at a $1.90 credit and eight lots at a...
by Tom Nunamaker | Jun 21, 2014 | Options trading, Trading
Time for a new trade in SPX. Another broken wing butterfly trade expiring on Jul 17th with 28 days to expiration. The eight lot of puts are at 1950/1930/1870. The 1930's were about a -22 delta. The trade was put on with a little smaller credit than I like, but it's...
