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Rolled up to the 890 put calendar for .20. I prefer to be a little bit long deltas here although hopefully I am not over-adjusting.

Looks like I might have been wrong here. The stock continues to decline on nothing but bad news and hope is not a viable trading strategy. Out at .585 credit, for a -50% return on risk inc. commissions. In retrospect, I should have cut this trade off significantly sooner.

Said I right before gold dropped $30/ounce this morning. I went ahead and cut off the position at the open for .88, at a -19% return on risk including commissions.

Sounds like fun. Welcome back!

Thanks DP; I agree! Unfortunately given the journal account size that would just IMO be way too large of a % exposure for a play like this. I do think though that in this instance there is a strong case to be made for the cheap OTM play on what is to a large degree (in my mind at least) a binary...

Long the Oct VIX 15 put from .45. If the shutdown / debt ceiling are resolved even for a few weeks, I think we may see a significant VIX drop at some point before expiration. I think the r/r makes sense here as this could be a double or even a triple if those issues are resolved, although there...

My pleasure and thanks for the kind words.

GMST, great to have you on the journal. The "vol edge" term I am using is the front week IV minus the back week IV on the long calendar. So, using this position as an example, IIRC when I put the position on the Oct4 put was priced at approx. 24% IV (according to ToS), and the Oct18 at approx...

No...are you?

Long the GLD Oct4/Oct18 128 put calendar from 1.08 risk. In my opinion gold has been pretty stable the last several days, considering the moves in the indexes and the looming shutdown, and the weekly straddle is currently selling at $2.90. I think this represents a good short gamma opportunity...

Out at .76 credit, for a 2.5% return on risk after commissions (which took most of the profit). In retrospect, I should not have entered this trade as the margin of error was very thin and any resolution of the shutdown will probably send VXX plunging, at least temporarily. The low notional and...

http://www.elitetrader.com/vb/showthread.php?s=&postid=3862309&highlight=spx+puts#post3862309

Thanks for the kind words Ed, but I recognize that I have a tremendous amount left to learn and am still working to become consistently profitable. There are many traders on these boards much more knowledgeable and experienced in options than myself. With that said, every day I keep working to...

Hey Ed, it all depends on my outlook for the underlying. When I expect the underlying to stay relatively stationary and/or for IV to drop, I may put on a regular butterfly that is ATM or close to ATM. I will often choose the iron over the call or put fly because the microstructure often allows a...

Long the VXX Oct4 12/14.5/17 iron fly from 1.61 risk (.89 credit). "Judge a man by his questions rather than his answers." - Voltaire

http://www.cboe.com/TradTool/Symbols/symbolall.aspx

Long the GOOG Oct11/Oct18 875 call calendar from 11.37. I expect vol for the back week to be held due to earnings although there is delta risk here. I plan to hold this for a few days but will take a quick profit if it appears. Will close the trade if the stock starts drifting significantly...

Thanks for the kind words Eddie, and great to have you on the journal!

One of my shortcomings that I am trying to improve on is to take profits more quickly on winning trades, and to cut off trades more quickly (even if in the green) when they aren't performing to my expectation. So it's definitely possible that I cut it off too soon, and as I noted I think it is...

Sure, but my perspective is that I can see spot easily continuing to go higher and the risk is to the upside. The rising IV was making the trade an uphill battle and I definitely would not put it on again today.