RUT shot up and /TF hit 1,131.40, now 1,129.40 and now I really like the short below 1,130! That's lining up with 16,842, 1,963.5 and 4,075.5. See, I told you there was no resistance up to there... These should be proper resistance (1,965 and 16,850) to verify the short positions.
AAPL/Jomp - I like the 2017 $90/120s the best as I think it's an easy target to hit and, even at $12.50, the pay-off is fantastic and you are paying no premium for the position (AAPL $106 is $16 in the money). Essentially, you are getting a position in AAPL which gives you up to $17.50 of upside (140%) in 2 years and you start off $3.50 in the money - where can you get a better deal than that?
Speaking of shorting the Russell, time for TZA again as the Jan $15s are just $1.75 and the Nov $17s are 0.42 for net $1.33 on the spread. Let's add 50 of them to our STP. The logic is, if TZA goes lower, we can sell puts and roll the calls and sell more calls to cover and, if TZA goes higher, we can roll the short calls to a higher strike and our longs have a higher (0.57) delta than the short calls (0.28) with much more time to expire.
