New XLU Position

I am still looking to add some new theta to my overall portfolio theta.

With an IVR of 81.5 XLU, the Utilities Index ETF, was an interesting stock to open a new position.

I have sold the strangle 61 P and 74 C with exp 18/11 for $1.02 adding $3.2 theta with a neutral delta. The PoP is 74 %

Indexes make interesting strangles when their IVR is high. They don’t have the individual position risk of an individual stock, so they move smoother. It makes them also easier to manage.

I am looking to manage this strangle at 50%max profit or at 21 days.

With 22 open positions, a total theta of $135 and a fairly neutral delta, I would quite happy with the market hoovering at the same place for three weeks.