Open Positions and P/L update

We currently have 3 positions open.  We have also closed our first 16 trades for a profit.Image


SPX trade 19

GDP numbers came in a little lower than forecast.  However, 2.5% growth is not exactly the number bears were looking for.

I would still want to be cautiously long. Bulls may make a final push to the 1620’s as my friend Mark talked bout earlier this month.

Here is trade 19:

-4 1635/1640 SPX call spread

.08 delta

5/16 expiration. Thursday @ close. Settle price is Friday @ open.

.30 credit. Not ideal credit, but wanted to to farther out in strikes.



Quick update

Just a quick post to explain my thoughts on why no new trades in a week.

Huge GDP numbers coming out tomorrow!!!

Any option delta right now isn’t to be trusted.

Say I find a spread that’s .10 delta or below and .35-.40 credit, I’m still hesitant to move on it. Because, if GDP number is a positive surprise tomorrow that .10 delta can go to .30 in no time…

Today’s jobless claims was a positive surprise and the market is rallying. I do not want to take a chance and enter into anything until after GDP numbers out tomorrow.

I put risk management over everything here @ SonnysMoney. I will not trade just to trade. Good luck to everyone and hope to have a trade out tomorrow sometime after the numbers!

SPX trade 18

-2 1450/1445 bull put spread on SPX

.35 gross credit per contract

.10 delta

Trade made below SPX’s 200 day MA of 1451.53

200 day moving average is still rising upwards everyday.

Very important close today on the SPX. It closed, for the first time in 2013, below its 50 day MA.

Also, I closed my 1640/1645 call spread. Made $100+ net profit on it already and no need to wait 3 more weeks to capture the rest.

Good luck to all!!!



SPX Trade 17

Iron condor for next week

-2 1485/1480 bull put spread paired with my open -4 1620/1625 Bear call spread

.13 delta

Expires next Friday, 4/26.

-3% below 50 day MA (1542) = 1495

100 day MA = 1495

Our trade is 10 points below 1495.

And both 50 day and 100 day MA, as of today, are still rising upwards.

Gives us a great margin of safety!




SPX Trade 16

-2 1505/1510 SPX Bull put spread
(Half position)

Forms an Iron Condor with my 1610/1615 call spread

.30 gross credit

.15 delta currently. However, when I opened the trade it was around .10

Expiring: Friday, 4/19/2013 market open

Could have gotten .40-.45 credit per contract, but my limit order was put in earlier this morning and my phone died.

Market completely tanked after it broke 1570 support, last week’s breakout point. Boston marathon bombing news sped up the sell off.

Today’s entry wasn’t ideal, but we have 3 full trading days until expiration.

SPX monthly options trade until 3:15 central time Thursday, and the settlement price is what it opens at Friday morning at 8:30am.

Hope everyone is ok in Boston and keep them in your prayers.



/ES and RSI

Interesting How the /ES bounces when it’s RSI goes below 50.Image