The Surf Report

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JJ, between friends, you don't mind if I call you an idiot? Good...

The fact is that the March YM contract hasn't even REACHED 13174 yet, so for Surf to reshort from that level was simply, well, how should I put it, impossible????

P.S.: According to my broker, today's low was 13181, and the previous days were all HIGHER....

P.S.S.: I think I deserve a medal because I keep a tight accounting business and catch liars pretty fast. Well, the bullshit-o-meter helped too! :)
 
Quote from Pekelo:

JJ, between friends, you don't mind if I call you an idiot? Good...

The fact is that the March YM contract hasn't even REACHED 13174 yet, so for Surf to reshort from that level was simply, well, how should I put it, impossible????

P.S.: According to my broker, today's low was 13181, and the previous days were all HIGHER....

P.S.S.: I think I deserve a medal because I keep a tight accounting business and catch liars pretty fast. Well, the bullshit-o-meter helped too! :)
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LMAO, oh man, I almost broke a rib from that one.

Sigh ... yes Pekelo, we all know the price of YMH8 has not reached 13174 yet, I didn't say that it had.

I said 13174 was Surf's breakeven point, which, as he observed earlier, price was quickly approaching (and is currently finding suport at) :D

So you see, it's all good (well Surf's trade still isnt' making money), but it's still all good.

JJ
 

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Quote from JimyJam:

Wrong again.

The breakeven is the amalgamated price of his multiple entries in the original contract ... 13174.

To state otherwise would mean that he would have had to have taken a loss on the orginal trade, and he would need to make up that loss + to get into profit.

So, for accounting purposes, what he has done is correct.

JJ
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Jimy, try this little experiment:

Assume Surf hasn't rolled over yet and pick a time today for him to rollover. Work through the mechanics of the rollover, ie, covering the Dec contract at the market price and initiating a new short on the March contract at market. Now, after doing all that, try and figure out where b/e would be for the overall trade. If you still say 13174, then it is really a waste of time talking to you.
 
Quote from JSSPMK:

OK, I had a look ay Gold and ImO according to what I use I see Gold breaking out of pennant to upside before there will/might be a retracement. Secondly, with stock market being in a way that it is and let's throw in the housing market's need to correct AND a widespread panic with USD's strength, where do people put their cash into? Not stock market, they won't be buying another house, they have already seen their savings 'deflate' against other currencies, so we arrive at the good old favourite - Gold.

We have a pennant in a bull run plus 2hr,4hr,daily, weekly and monthly charts are all bullish at the moment. So why would you expect a retracement here. I've said my bit, I would like to hear yours.
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Gold spot was up >$12 today
 
I think to be fair you have to treat it as two trades. The DEC contract was opened and closed for a loss. Now there is a new MARCH short at whatever price it was rolled into. The DEC was a loss and it is now a closed position.

But as much as you ask you will never get the accurate close price (DEC) and open price (MAR) so you can only guess at the numbers sadly.
 
Quote from optioncoach:

I think to be fair you have to treat it as two trades. The DEC contract was opened and closed for a loss. Now there is a new MARCH short at whatever price it was rolled into. The DEC was a loss and it is now a closed position.

But as much as you ask you will never get the accurate close price (DEC) and open price (MAR) so you can only guess at the numbers sadly.
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Sounds right:

http://www.elitetrader.com/vb/showthread.php?s=&postid=1714334#post1714334

http://www.elitetrader.com/vb/showthread.php?s=&postid=1715334#post1715334

The only curiosity is how surf somehow maintains the same B/E level despite the roll and regardless of whether you view the trade as a continuation of an existing trade or as a new one altogether. I guess it's either a "science" thing or another quarterly "typo" thing.
 
Quote from optioncoach:

I think to be fair you have to treat it as two trades. The DEC contract was opened and closed for a loss.
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Correct. Now as the accountant, because of the ambiguity of the position (and the obvious lie about the March price) I will treat it as the Dec short would be still open. (this is actually favorable for Surf by 90 points)

Unless Surf clarifies, I will close it for him on Friday 4:15 pm. Position is currently about -40....
 
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