The week of Sept 1-5 was a light one in terms of realized profit. The only expired contract was an ES bear call. I also closed couple of grains' bear calls at 1/8 and scaled out direct puts at 35-100% right before Friday's pop on the news of possible frosting. It further proves the importance of following rules.
ES was sold off on every new highs but bulls stepped in on every pull backs as well. It's a tug war at top. I am aware of seasonality of later September pull backs. It's a tendency, not a certainty. I am still learning to switch my market bias and hypotheses according to price actions. I have reacted slowly so far.
Grains made new contract lows after USDA's Grains Progress Report. I scaled out some of my puts to protect my profits. I also bought couple more puts for next month's expiration on Friday's pop. USDA will release another WASDE this Thursday, Sept 11. It's widely anticipated for a higher production estimate. I need to roll over some of my ITM, underwater Dec wheat and soybean bull puts before the report.
Pay attention to my instinct of against certain trade idea and give it a deeper thought. Make it a clear thinking process.
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