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A newbie's index option journal
- Thread starter JLB123
- Start date
JW Trading Journal : 2007-03-8 Result - Taking profit and changing gear a little.
Closed SPY MAR 135 Call @5.90, + 59.5%
Closed SPY MAR 137 Call @4.00, + 11.1%
2007-03 month to date return 4.89%
2007 year to date return 9.65%
vs. 2007 year to date SPY (S&P500) return -0.62%
Initiate Long position with DIA Mar 120 Call @3.20
Open position: 2
Closed SPY MAR 135 Call @5.90, + 59.5%
Closed SPY MAR 137 Call @4.00, + 11.1%
2007-03 month to date return 4.89%
2007 year to date return 9.65%
vs. 2007 year to date SPY (S&P500) return -0.62%
Initiate Long position with DIA Mar 120 Call @3.20
Open position: 2
JW Trading Journal : 2007-03-9 Result - A week of recovery
Today the model forecasted the correct outcome of higher DIA(+0.19) than SPY(+0.04), but unfortunately the move was not big enough for the options to move to the upside and obviously time decay got its fair share of the coming weekend. Still, it's been a good week in terms of the recovery.
Closed DIA MAR 120 Call @3.10, - 3.1%
2007-03 month to date return 4.46%
2007 year to date return 9.20%
vs. 2007 year to date SPY (S&P500) return -0.59%
Open position: 1
Today the model forecasted the correct outcome of higher DIA(+0.19) than SPY(+0.04), but unfortunately the move was not big enough for the options to move to the upside and obviously time decay got its fair share of the coming weekend. Still, it's been a good week in terms of the recovery.
Closed DIA MAR 120 Call @3.10, - 3.1%
2007-03 month to date return 4.46%
2007 year to date return 9.20%
vs. 2007 year to date SPY (S&P500) return -0.59%
Open position: 1
Attachments
Great, simple journaling! Definately helpful to those of us curious about options trading.
One question about your strategy, which looks to be a good place to start as a beginner myself: I see you hold options for 2-3 days --- in cases of the SPY, are you buying ATM, OTM, or slightly-ITM options?
Best of trading luck!
One question about your strategy, which looks to be a good place to start as a beginner myself: I see you hold options for 2-3 days --- in cases of the SPY, are you buying ATM, OTM, or slightly-ITM options?
Best of trading luck!
Quote from rickf:
Great, simple journaling! Definately helpful to those of us curious about options trading.
One question about your strategy, which looks to be a good place to start as a beginner myself: I see you hold options for 2-3 days --- in cases of the SPY, are you buying ATM, OTM, or slightly-ITM options?
Best of trading luck!
All I know about option is buy call if I think the underlying security is going to move upwards. But you probably know that already lol. Sorry I probably can't really help you with your options trading but you can start with MacMillan's "options as a strategic investment", it's a really good option book to start with.
The MacMillan book states that in my situation I should go for the highest delta which is deep in the money but I usually buy slightly in the money options. For some reason it just works better for me.
And yes it's a simple P/L tracking journal...
Best of luck to you too.
Quote from JLB123:
2007-03-06 Trading Activity :
Initiated long position with SPY March 137 call @3.60.
Open position : 3
you still holding this one?
DJX.X Mar 2007 120.0000 call (DJWCP.X)
Last Trade: 1.30
Trade Time: 3:59PM ET
Change: 1.65 (55.93%)
Prev Close: 2.95
Open: 2.70
Bid: 1.30
Ask: 1.45
Day's Range: 1.30 - 2.70
Quote from nkhoi:
you still holding this one?
DJX.X Mar 2007 120.0000 call (DJWCP.X)
Last Trade: 1.30
Trade Time: 3:59PM ET
Change: 1.65 (55.93%)
Prev Close: 2.95
Open: 2.70
Bid: 1.30
Ask: 1.45
Day's Range: 1.30 - 2.70
No I sold that call on 3/9 @3.10. Please refer to the log file at the above post, thanks.