Tuesday, April 1, 2014

April Fool 4-1-14

Indices continued to move up. ES challenged its March 7 high of  1880.25. It broke it after hour. I sold two calls of 1905 and 1920 for week 2 and 3. It appears that 1905 of week 2 is too close. It would be in a no men's land if ES establish a new balanced area. I will have to manage my risk and possibly leg up.

CL had a 2% down day. I sold a 95 for two week out. Luckily I didn't follow Vennier1 to enter $98 put as CL closed at $99.70 and is in a LVA of $101-98.65. I will wait to sell a call after tomorrow's CL inventory report.

Grains followed yesterday's trend. Corn and soybean moved up and wheat came down to prior balance area. It looks like a HS pattern is forming in daily chart. But weather and crop conditions could push price back up. I am try to be patience letting time decay help me scale out my near money positions.

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