Saturday, May 21, 2022

The 7th Down Week 5-20-22

 The majors booked their 7th consecutive down week. It only happened during the dot-com crash in 2001. The bubble of the last 10-plus years burst again. The selloff has been strong. The MACD and RSI weekly charts are in the oversold territory now. We may see a technical bounce next week after today's wild swings. 

The IB Netliq ended unchanged from the 105K last week. The leverage is up slightly from 468 to 473. The realized P/L is $8.9K. It was mainly from the risk reversals of deleveraging. The account collected $1935 due to there being a couple of hedges worked out. I am thankful that I survived the wild market this week. I was aggressively deleveraging my positions to keep the delta neutral. 

The 0 DTE system continues to be the bread and butter of my trading. It brought in $3780 profit with a good hedge win of $1300.  It withstood these 3-4% wild swings with my hedging strategies. 

Lessons learned:

1. Respect the trend. We are in a bear market;

2. I must deleverage my positions. Take advantage to do so if there is a bounce;

3. Realize that my old system is not working. I must exit all the positions in an orderly manner. 


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