6/20 SOLD HD 100 JUN 08 27.5 PUT @ $1.18 credit
6/20 BOT HD 100 JUL 08 27.5 PUT @ $1.60 credit
6/24 SOLD CALENDAR HD 100 AUG 08/JUL 08 27.5 PUT @ $0.38 credit
6/24 BOT CALENDAR HD 100 AUG 08/JUL 08 27.5 PUT @ $0.38 debit
This brings my total cost basis to $0.59 after all the crazy adjustments to clean up my mess. Overall I am back to a Jul/Aug 25 & 27.5 double put calendar trade.
Tuesday, June 24, 2008
Friday, June 20, 2008
ADJUST: HD Dbl. Calendar
SOLD CALENDAR HD 100 JUL 08/JUN 08 27.5 PUT @ $0.60 credit
SOLD DBL DIAG HD 100 JUL 08/JUN 08 27.5/25/27.5/25 PUT @ $1.00 credit
The mistake I made on this trade was a separate order for my 27.5 puts got filled on accident because I had this as a working order for a while and forgot to check it and cancel. So I double sold my 27.5 position. I immediately put in an exit order for the extra contracts but it did not get filled in time before market close. So, I have GTC'd this exit order to fill tomorrow morning.
This brings my cost basis to $0.17 from yesterday.
SOLD DBL DIAG HD 100 JUL 08/JUN 08 27.5/25/27.5/25 PUT @ $1.00 credit
The mistake I made on this trade was a separate order for my 27.5 puts got filled on accident because I had this as a working order for a while and forgot to check it and cancel. So I double sold my 27.5 position. I immediately put in an exit order for the extra contracts but it did not get filled in time before market close. So, I have GTC'd this exit order to fill tomorrow morning.
This brings my cost basis to $0.17 from yesterday.
Wednesday, June 18, 2008
ADJUST: HD Dbl. Calendar
Today I rolled my July long legs out to August to stretch the trade out a little longer. It has been channeling nicely within my range and I can get August cheaply today.
BOT CALENDAR HD 100 AUG 08/JUL 08 27.5 PUT @$0.44 debit
BOT CALENDAR HD 100 AUG 08/JUL 08 25 PUT @ $0.42 debit
My last cost basis was 0.44+0.47=0.91
Now it is 0.91+0.44+0.42= $1.77
BOT CALENDAR HD 100 AUG 08/JUL 08 27.5 PUT @$0.44 debit
BOT CALENDAR HD 100 AUG 08/JUL 08 25 PUT @ $0.42 debit
My last cost basis was 0.44+0.47=0.91
Now it is 0.91+0.44+0.42= $1.77
Wednesday, June 11, 2008
CLOSE: USO Bull Put Spread +57.3%
Yesterday, I entered another bull put spread on USO yesterday afternoon with the nice slightly bearish retracement. This is a great entry for bull put spreads as the value of the puts are higher since it is downtrending for the day. Overall though, the trend you want is bullish.
SOLD VERTICAL USO JUN 08 103/102 PUT @ $0.32 credit
Today my exit order was filled as follows. Since this was a paper trade, TOS (Think or Swim) got me out with a credit. This does not happen in live trading though. Paper trading accounts usually fill at the mid instead of the natural. Occasionally you may experience this issue when you're looking at your fill prices. If this happens in TOS for you, if the number if either negative or positive, you follow if it says credit or debit.
BOT VERTICAL USO JUN 08 103/102 PUT @ -$0.07 credit
0.32+0.07/1.00-0.32= 57.3% ROI in 1 day!
SOLD VERTICAL USO JUN 08 103/102 PUT @ $0.32 credit
Today my exit order was filled as follows. Since this was a paper trade, TOS (Think or Swim) got me out with a credit. This does not happen in live trading though. Paper trading accounts usually fill at the mid instead of the natural. Occasionally you may experience this issue when you're looking at your fill prices. If this happens in TOS for you, if the number if either negative or positive, you follow if it says credit or debit.
BOT VERTICAL USO JUN 08 103/102 PUT @ -$0.07 credit
0.32+0.07/1.00-0.32= 57.3% ROI in 1 day!
ADJUST: HD Calendar to Dbl Calendar
Yesterday, I opened the trade as follows:
BOT CALENDAR HD JUL 08/JUN 08 27.5 PUT @ $0.44 debit
My breakevens (B/Es) were at 26.02 & 29.13.
Position is sized for max loss.
Today I added another calendar to hedge on the downside:
BOT CALENDAR HD JUL 08/JUN 08 25 PUT @ $0.47 debit
My new B/Es are at 24.52 & 28.13...so this gives me more wiggle room and protection on the downside.
My new cost basis is 0.44 + 0.47= $0.91
BOT CALENDAR HD JUL 08/JUN 08 27.5 PUT @ $0.44 debit
My breakevens (B/Es) were at 26.02 & 29.13.
Position is sized for max loss.
Today I added another calendar to hedge on the downside:
BOT CALENDAR HD JUL 08/JUN 08 25 PUT @ $0.47 debit
My new B/Es are at 24.52 & 28.13...so this gives me more wiggle room and protection on the downside.
My new cost basis is 0.44 + 0.47= $0.91
Tuesday, June 10, 2008
OPEN: DE Call & HD Put Calendars
DE:
BOT CALENDAR DE SEP 08/JUN 08 80 CALL @ $4.55 debit
My breakevens are at 76.80 & 83.93.
HD:
BOT CALENDAR HD JUL 08/JUN 08 27.5 PUT @ $0.44 debit
My breakevens are at 26.02 & 29.13.
Both positions are sized for max loss.
BOT CALENDAR DE SEP 08/JUN 08 80 CALL @ $4.55 debit
My breakevens are at 76.80 & 83.93.
HD:
BOT CALENDAR HD JUL 08/JUN 08 27.5 PUT @ $0.44 debit
My breakevens are at 26.02 & 29.13.
Both positions are sized for max loss.
CLOSE: BEN Dbl. Calendar +6.4%
I started on 5/29/08 with the Jun 95 & 100 put calendars for an original cost basis of $3.43.
On 6/5 it peaked up through 105 so removed my bottom side and adding a top leg at 105.
SOLD CALENDAR BEN 100 JUL 08/JUN 08 95 PUT @1.30 credit
BOT CALENDAR BEN 100 JUL 08/JUN 08 105 PUT @2.15 debit
My adjusted cost basis was= $3.43 -1.30+2.15= $4.28
My lesson learned so far with these calendars is to begin with a single calendar unless it is definitely channeling between the 2 strikes I am buying with the calendars; size with at least 3 contracts so I have the ability to adjust my position; and add on another calendar later and not have to lose money by removing legs in the future.
Today I exited the trade completely as follows:
SOLD DBL DIAG BEN JUL 08/JUN 08 105/100/105/100 PUT @ $4.50 credit
4.50-4.28/3.43= 6.4% in 13 days
On 6/5 it peaked up through 105 so removed my bottom side and adding a top leg at 105.
SOLD CALENDAR BEN 100 JUL 08/JUN 08 95 PUT @1.30 credit
BOT CALENDAR BEN 100 JUL 08/JUN 08 105 PUT @2.15 debit
My adjusted cost basis was= $3.43 -1.30+2.15= $4.28
My lesson learned so far with these calendars is to begin with a single calendar unless it is definitely channeling between the 2 strikes I am buying with the calendars; size with at least 3 contracts so I have the ability to adjust my position; and add on another calendar later and not have to lose money by removing legs in the future.
Today I exited the trade completely as follows:
SOLD DBL DIAG BEN JUL 08/JUN 08 105/100/105/100 PUT @ $4.50 credit
4.50-4.28/3.43= 6.4% in 13 days
ADJUST: GS Naked Put
On 5/8/08, I opened the 8 GS Naked Jun 175 puts for credit of $5.00.
This trade has been going against me for some time and I did not adjust it earlier. So this is mess up #1 on this trade (not taking action sooner).
Mess up #2 is here with me accidentally buying calls instead of selling them to neutralize my trade. I thank the market for blessing me with a small profit with my screw up though. Next time, I may not be so lucky if I mess up so I am not going to bank on it happening again. Below I immediately sold the calls I bought to get back to just the naked puts. Rule #1 in trading-if you make a mistake, don't try to salvage it...GET OUT as soon as possible.
BOT +16 GS 100 JUN 08 175 CALL @3.25 debit
SOLD -16 GS 100 JUN 08 175 CALL @3.37 credit
Now I sold the correct calls as follows:
SOLD -16 GS 100 JUN 08 175 CALL @ $3.55 credit
Here's what it did to the greeks on my trade. Below is a screen shot of the analysis of just the naked puts I was in. Notice how the trade is currently in the non-profitable zone at 168.40 (just left of my breakeven).
Now, by adding the 16 short calls, my delta is almost completely neutral and I have increased my theta and vega to beef up my short side. Also, I am now between my breakevens at 168.22 and profitable instead of at a loss. Once the stock starts heading upward again above 175, I can either remove the short calls or exit the trade.
I will be looking to close this trade within the next week as we are approaching June's expiration.
This trade has been going against me for some time and I did not adjust it earlier. So this is mess up #1 on this trade (not taking action sooner).
Mess up #2 is here with me accidentally buying calls instead of selling them to neutralize my trade. I thank the market for blessing me with a small profit with my screw up though. Next time, I may not be so lucky if I mess up so I am not going to bank on it happening again. Below I immediately sold the calls I bought to get back to just the naked puts. Rule #1 in trading-if you make a mistake, don't try to salvage it...GET OUT as soon as possible.
BOT +16 GS 100 JUN 08 175 CALL @3.25 debit
SOLD -16 GS 100 JUN 08 175 CALL @3.37 credit
Now I sold the correct calls as follows:
SOLD -16 GS 100 JUN 08 175 CALL @ $3.55 credit
Here's what it did to the greeks on my trade. Below is a screen shot of the analysis of just the naked puts I was in. Notice how the trade is currently in the non-profitable zone at 168.40 (just left of my breakeven).
Now, by adding the 16 short calls, my delta is almost completely neutral and I have increased my theta and vega to beef up my short side. Also, I am now between my breakevens at 168.22 and profitable instead of at a loss. Once the stock starts heading upward again above 175, I can either remove the short calls or exit the trade.
I will be looking to close this trade within the next week as we are approaching June's expiration.
ADJUST: XLE Call Calendar
As of 5/22 when I rolled my Sep long leg down to July, my last cost basis was $2.85-$2.15= $0.70.
As of today, I adjusted my Jun 85 calls (short position) to the Jun (JUN5 08) quarterly 85 calls for the credit below, thus making my new adjusted cost basis $0.00. Anything I sell my trade now for would be pure profit at this point.
SOLD CALENDAR XLE (Quarterlys) JUN5 08/JUN 08 85 CALL @ $0.70 credit
As of today, I adjusted my Jun 85 calls (short position) to the Jun (JUN5 08) quarterly 85 calls for the credit below, thus making my new adjusted cost basis $0.00. Anything I sell my trade now for would be pure profit at this point.
SOLD CALENDAR XLE (Quarterlys) JUN5 08/JUN 08 85 CALL @ $0.70 credit
CLOSE: AMSC Bull Call Spread +46.3%
On 5/29/08 I entered the trade as follows:
BOT VERTICAL AMSC JUN 08 30/35 CALL @ $3.35 debit
I saw the breakup through the ascending triangle formed since Dec 07 (see chart below). A bull call spread is a debit spread where you intend to go direction (buying a call ITM or ATM), but you are adding protection (selling a call OTM). I prefer to trade these shorter term since I cannot predict the stock's ultimate direction over the long term. Since it's a debit spread, I'd rather spend less by making it short term so I can get out quickly and redirect my profits on the next trade.
Today with a nice gap up, I exited:
SOLD VERTICAL AMSC JUN 08 30/35 CALL @ $4.90 credit
4.90-3.35/3.35= 46.3% ROI in 13 days
BOT VERTICAL AMSC JUN 08 30/35 CALL @ $3.35 debit
I saw the breakup through the ascending triangle formed since Dec 07 (see chart below). A bull call spread is a debit spread where you intend to go direction (buying a call ITM or ATM), but you are adding protection (selling a call OTM). I prefer to trade these shorter term since I cannot predict the stock's ultimate direction over the long term. Since it's a debit spread, I'd rather spend less by making it short term so I can get out quickly and redirect my profits on the next trade.
Today with a nice gap up, I exited:
SOLD VERTICAL AMSC JUN 08 30/35 CALL @ $4.90 credit
4.90-3.35/3.35= 46.3% ROI in 13 days
Friday, June 6, 2008
CLOSE: UNG Bull Put Spread +30.3%
Today I decided to close my bull put spread as it has gapped up this morning but is showing some slight weakness toward the afternoon with a doji (neutral candle stick).
On 5/22/08 I entered as follows:
Bull Put Spread: SOLD VERTICAL UNG JUN 08 53/51 PUT @ $0.55 credit
Sized for max loss-no stop set.
I exited today as follows:
BOT VERTICAL UNG JUN 08 53/51 PUT @.11 credit
.55-.11/ 2.00-.55 risk= 30.3% ROI in 15 days
On 5/22/08 I entered as follows:
Bull Put Spread: SOLD VERTICAL UNG JUN 08 53/51 PUT @ $0.55 credit
Sized for max loss-no stop set.
I exited today as follows:
BOT VERTICAL UNG JUN 08 53/51 PUT @.11 credit
.55-.11/ 2.00-.55 risk= 30.3% ROI in 15 days
CLOSE: USO Bull Put Spread + 28.6%
On 5/23/08 I opened a bull put spread as follows:
SOLD VERTICAL USO JUN 08 99/98 PUT @ $0.30 credit
Today I exited out with my automatic exit order for a nice profit:
BOT VERTICAL USO JUN 08 99/98 PUT @ $0.10 debit
.20/1.00-.30 risk= 28.6% in 14 days
SOLD VERTICAL USO JUN 08 99/98 PUT @ $0.30 credit
Today I exited out with my automatic exit order for a nice profit:
BOT VERTICAL USO JUN 08 99/98 PUT @ $0.10 debit
.20/1.00-.30 risk= 28.6% in 14 days
Thursday, June 5, 2008
ADJUST: BEN Dbl Put Calendar
I started with a cost basis of $3.43 on 5/59/08 with the Jun 95 & 100 put calendars.
Today it has peaked up through 105 so i am now removing my bottom side and adding a top leg at 105.
SOLD -57 CALENDAR BEN 100 JUL 08/JUN 08 95 PUT @1.30 credit
BOT +57 CALENDAR BEN 100 JUL 08/JUN 08 105 PUT @2.15 debit
My new cost basis= $3.43 -1.30+2.15= $4.28
My lesson learned so far with these calendars is to begin with a single calendar unless it is definitely channeling between the 2 strikes I am buying with the calendars; size with at least 3 contracts so I have the ability to adjust my position; and add on another calendar later and not have to lose money by removing legs in the future.
Today it has peaked up through 105 so i am now removing my bottom side and adding a top leg at 105.
SOLD -57 CALENDAR BEN 100 JUL 08/JUN 08 95 PUT @1.30 credit
BOT +57 CALENDAR BEN 100 JUL 08/JUN 08 105 PUT @2.15 debit
My new cost basis= $3.43 -1.30+2.15= $4.28
My lesson learned so far with these calendars is to begin with a single calendar unless it is definitely channeling between the 2 strikes I am buying with the calendars; size with at least 3 contracts so I have the ability to adjust my position; and add on another calendar later and not have to lose money by removing legs in the future.
ADJUST: NMX Dbl Calendar
From 5/29/08 I began with the June 90 & 95 put calendars. My total cost basis was $3.05.
I did not get stopped out yet on this trade so I am adjusting it as it has come down and tested the 80. I sold the 95 put calendar and bought an 80 put calendar as follows to give me some downward protection and make the trade delta neutral again.
SOLD -64 CALENDAR NMX 100 JUL 08/JUN 08 95 PUT @ $0.70 credit
BOT +71 CALENDAR NMX 100 JUL 08/JUN 08 80 PUT @ $1.78 debit
3.05-0.70+1.78= New cost basis= $4.13
I did not get stopped out yet on this trade so I am adjusting it as it has come down and tested the 80. I sold the 95 put calendar and bought an 80 put calendar as follows to give me some downward protection and make the trade delta neutral again.
SOLD -64 CALENDAR NMX 100 JUL 08/JUN 08 95 PUT @ $0.70 credit
BOT +71 CALENDAR NMX 100 JUL 08/JUN 08 80 PUT @ $1.78 debit
3.05-0.70+1.78= New cost basis= $4.13
CLOSE: POT Naked Put Jun 195 +19%
On 5/22/08, I opened the naked put on POT:
SOLD POT 100 JUN 08 195 PUT @ $8.50 credit
Exit naked put at 80% profit at $1.70 debit.
Stop loss set to twice credit at $17.00 debit.
My risk was $35.87 margin held.
Today my exit order was triggered at:
BOT POT JUN 08 195 PUT @1.70 debit
8.50-1.70/35.87= 19% ROI in 14 days
SOLD POT 100 JUN 08 195 PUT @ $8.50 credit
Exit naked put at 80% profit at $1.70 debit.
Stop loss set to twice credit at $17.00 debit.
My risk was $35.87 margin held.
Today my exit order was triggered at:
BOT POT JUN 08 195 PUT @1.70 debit
8.50-1.70/35.87= 19% ROI in 14 days
Wednesday, June 4, 2008
CLOSE: V Dbl Calendar +23.3%
On 5/22/08 I opened the trade as follows:
BOT CALENDAR V JUL 08/JUN 08 75 PUT @1.30 debit
BOT CALENDAR V JUL 08/JUN 08 80 PUT @1.20 debit
Total cost basis= $2.50
On 5/29/08, I adjusted my 75/80 dbl. put calendar to an 80/85 dbl put calendar.
SOLD CALENDAR V JUL 08/JUN 08 75 PUT @ $0.95 credit
BOT CALENDAR V JUL 08/JUN 08 85 PUT @ $1.45 debit
New cost basis= 2.50 +1.45 - 0.95= $3.00
Today I exited completely out of the trade:
SOLD DBL DIAG V JUL 08/JUN 08 85/80/85/80 PUT @ $3.70 credit
3.70-3.00/3.00= 23.3% ROI 13 days
BOT CALENDAR V JUL 08/JUN 08 75 PUT @1.30 debit
BOT CALENDAR V JUL 08/JUN 08 80 PUT @1.20 debit
Total cost basis= $2.50
On 5/29/08, I adjusted my 75/80 dbl. put calendar to an 80/85 dbl put calendar.
SOLD CALENDAR V JUL 08/JUN 08 75 PUT @ $0.95 credit
BOT CALENDAR V JUL 08/JUN 08 85 PUT @ $1.45 debit
New cost basis= 2.50 +1.45 - 0.95= $3.00
Today I exited completely out of the trade:
SOLD DBL DIAG V JUL 08/JUN 08 85/80/85/80 PUT @ $3.70 credit
3.70-3.00/3.00= 23.3% ROI 13 days
CLOSE: UNG Naked Put +10.1%
On 5/22/08 I entered the trade as follows:
SOLD UNG JUN 08 52 PUT @ $0.92 credit
Exit order set at 80% profit at $0.18 debit.
Stop loss set to twice credit at $1.84 debit.
Today my exit order was triggered:
BOT UNG 100 JUN 08 52 PUT @ $0.20 debit
0.92-0.20/7.15 margin risk= 10.1% ROI in 13 days
SOLD UNG JUN 08 52 PUT @ $0.92 credit
Exit order set at 80% profit at $0.18 debit.
Stop loss set to twice credit at $1.84 debit.
Today my exit order was triggered:
BOT UNG 100 JUN 08 52 PUT @ $0.20 debit
0.92-0.20/7.15 margin risk= 10.1% ROI in 13 days
Monday, June 2, 2008
CLOSE: UPL Naked Put +21.9%
On 5/15/08 I SOLD JUN 80 PUT @ $2.80 credit
Risk= $10.26 margin held
My exit order was set for $0.56 (80% of my credit)
Set my stop loss for twice the credit at $5.60.
Today my exit order was triggered at:
BOT +16 UPL 100 JUN 08 80 PUT @ $0.55 debit
2.80-0.55/10.26 margin= 21.9% in 18 days
Risk= $10.26 margin held
My exit order was set for $0.56 (80% of my credit)
Set my stop loss for twice the credit at $5.60.
Today my exit order was triggered at:
BOT +16 UPL 100 JUN 08 80 PUT @ $0.55 debit
2.80-0.55/10.26 margin= 21.9% in 18 days
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