The inflation data came out less than expected before opening. Futures jumped briefly. It was a day of rest for bulls and bears. Majors closed slightly up after tugging on board lines most of the day. Market is still dominated by the tension of North Korea. Both RUT and SPX are back into their prior balance areas before the break out of July. RUT is showing over sold in MACD. SPX still has a gap in 2430 act like a magnet. It's very much on the development of the N Korea tension.
Made 16 trades today. I had to make so many rollovers in both side after this recent sell off. The good news is that RUT 1390 bear call is exited, so was a client's RUT 1385 call which lifted some pressure off from the up side. I was able to roll out the two deep ITM positions in ET and collected some premiums. I wasn't comfortable to roll them in the last day but the put positions dragged me into it. I don't plan to sell put spreads in ET due to the concerns of the N.K risk unless it stabilized. Rolled out more IWM ITM puts to void getting assigned. I had to pay more to buy puts to hedge the down side risk before closing. The post expiry excess was below 30K. Paid over $100 to boost the put side hedges. It may not be enough if a major event happens over the weekend. I tried to buy couple VIX calls but didn't want to pay $80-90 for OTM calls. I missed the chance to get them cheap the day before yesterday when I heard that a big hedge fund was buying it. Yesterday was the highest VIX trading volume on record.
Net liq didn't go up much due to the ITM puts. Margin ratio is around 30% for this weekend. I may have to sell futures or futures options if any news that spook the market over the weekend.
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