US indices couldn't hold most of last Friday's gains today. ES/SPX lost 1.5% and RUT shredded 2.3%. So far it looks like a retest of the break out area of last week. With FOMC announcement in two days it's could be a clear deck action on both side. We may get a strong reaction if Fed disappoint the market with certain languages. Then we may see selling resumes in the down trend. CL is still a big factor to the equity market. It pulled back 5% today.
I didn't accomplish much today. A closing call of RUT got filled and bought 4 protective puts in SPY with sold put in 2:1 ratio. Sold a March 3 SPY 145 puts. I will have at least one set SPY put coming off and some calls tomorrow.
Risk factors worsen some with the pull back today. VAR and ES decreased while net liq and available fund dropped as well. Increase buying power and reduce size will be my main test the next two days. I will hold off adding positions until after FOMC on Wednesday.
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