Friday, January 1, 2016

Week Ending Jan 2

The year ends. I'm still standing. Wow.

So I am quite behind according to plan, I had hoped to cross the 10k or 7k threshold. I am woefully short but I'm definitely not wiped out.
Let's see what happened this week, I had 5 contracts of the Iron Condor expiring on 12/31, a day early because of the holiday.
Since this was SPXW with PM settlement, I was hoping to just allow the contracts to expire worthless, especially since this was a short week.

In addition I had 3 contracts worth of margin available at the start of the week. Unfortunately with the low volatility and flat interest rich premiums were hard to find.
I ended up playing 1 contract for SPXW expiring 1/8 and 2 for SPX monthly expiring 1/14.All 3 Iron Condors.

The credit was decent ,but nothing to write home about.for the 3 contracts I earned 205$ for a margin hold of 1500$ , 13.66% ROM.

On Wednesday 12/31 I decided to watch The Hateful 8 movie at 11 am, since this is a 3 hour movie I wanted to take risk off the table just in case, so I closed the 1980/1985 Puts for 5c each which costed me 10$ in commissions, the net sale and purchase netting each other out.
SPXW ended the day at 2043, far away from my strikes, but but better safe than sorry, I would know.
All in all this was a winning trade, I'm hoping IV increases next week , I have 6 contracts worth of margin available to place trades, I will probably play only 5 as usual.

SPX at 2043 and VIX at 18.

I am now back to where I was before the PANW trade. (Nov27)

Just to emphasize, the slow and steady grind wont end until i can play more contracts, that wont be possible until there's at least 10k in the account.At that time I will rotate 10 contracts per week. At least that's the plan.
Plus I have to be careful to avoid an Aug 24 like situation.

Net cash $4,352.56.