A Losing Week 4-28-23

 The slow-moving, low volatility of the market finally ended this week. The major indices had a two-day selloff and a two-day bounceback. The big guys were preparing for FOMC next Wednesday.  The technical indicators pointed to the downside early in the week. It's like too many people stayed on one side of a boat. The market flipped up in the last two days. My positions were heavy on the downside. I got caught with my pants down. Luckily the rule of -1+1 prevented me from adding more short positions.    

The IB Netliq is down nearly 3% from 304K to 296K. The options' value is back above 200K from 195K. The leverage is down because of the lower VIX. The realized P/L lost $1380. The collected cash is only $670 for the week. It's Ok because I was following the plan to reduce my holdings. 

The realized P/L for April is $23K. The premiums are $14,316. The positions are SPX C8, P6, RUT C2, and P3 at EOM. I switched 2 RUTP to SPXP. The overall positions are fewer than before. 

The two personal accounts booked a loss of $8,200 for the week. Each account has an SC underwater. I made some mistakes. TOS collected $1,254 cash. IBP did better with $3,340. The total premiums are $4,600 for the week. 

For April, the total realized P/L is $8970. TOS collected $4,932. IBP got $5,916. The total cash for the two accounts is $10,848. It's a surprise the two small accounts collected 71% cash as IBP in April. The two small accounts traded much less than IBP. It proves that trading more doesn't mean making more. 

Plan for next week:

1. IBP must continue to focus on reducing the ITM positions. Cash generation is only the 2nd goal.   

2. Personal accounts must follow the rule of -1+1 and reduce risk. 

A Flat Week 4-21-23

 The major indices ended flat for the week. The dip buyers have been able to hold the market. The support levels were tested and weakened. SPX had a slight red week after five-week gains. It's holding 4100 for now. RUT was up in the lower B band. The daily charts formed higher lows and lower lows. The earnings season is in full swing. Earnings could be the main factor for the market. Seasonally this is a bullish period for the market. I will keep the trend in mind as the forest. 

IB Netliq is up 9% from 294K to 324K. I transferred $20K back to ETQ. The netliq closed above 300K for the first time in years. The options' value ended below 200K for the first time in at least 5 years. The leverage is down 9% from 123 to 111. VIX stayed at 19ish. The realized P/L is up $31K. The collected cash is only $2K. I was following the -1+1 rule. I reduced SPX 4 SC and 1 SP, RUT -1 on each side. That was my plan for last week. I feel good I did it.  

The calm market is a major factor in the recovery. The BF hedge strategy helped to build a large cash reserve. The cash position boosted the netliq. The reduced position added B/P. I have switched 1.5 RUT to SPX. SPX has more DTEs. It will be easier and quicker to reduce my positions. I will stay humble and cautious.     

The two small accounts performed fair for the week. I followed the -1+1 rule mostly. TOS collected $2.3K. IBP got $2.2K. The total cash premiums are $4.5K. Each account has one position left. 

Lessons learned and plan ahead:

1. Patience is still my shortcoming. My daily meditation helps me to recognize my impatience. 

2. It takes time to change and rebuild a habit. I need to keep working on it. 

3. Don't adjust a position unless there are 2X losses and 10-point gains. 

4. Manage the risk. I can only control my position sizes. It's my safety net.  

5. My plan for the next 30-60 days: eliminate all of the DITM positions. I will reward myself with one month's vacation or an SUV once I achieve the goal.    

A Wild Week Ended Up 4-14/23

 The market was waiting for CPI on Wednesday. It was choppy before the report. The major indices swung up and down for the last three days after CPI and PPI. They ended up for the week. SPX is up five consecutive weeks this year. Dip buyers showed up at critical levels every day this week. I didn't perform well for the last three days. I was overreacting to these swings. I rolled my positions too often with emotions. 

The IB Netliq is almost unchanged at 295K. It broke above 300K as a milestone on Wednesday and Thursday. The leverage is down by 5 points from 128 to 125. VIX is below 20. The realized P/L is $8.6K. It recovered from last week's -$3.1K. The collected premiums are $4.7K with too many open positions. I added 3 SCs to the total of 11. SP stayed at 7. RUT added 1 SC to 4. The SP is the same at 6. It was the same problem with making too many small rolls. My positions increased when the swings got bigger. 

TOS finally unwinded all positions. I made one BF for $1K this week. It collected $1.1K for the week. IBP has one more SC left. It made $290 only. I tried one BF but got the direction wrong. It was OTM. 

Lessons Learned:

1. I need to slow down and stay cool when the market is volatile.  

2. I forget to recognize my emotions when the market is hot. 

3. I won't make position adjustments without at least 10 points gains. 

4. I will adjust a position when the loss is 2x or more of the premiums.   

A Week Of Rangebound 4-8-23

 The major indices closed relatively flat for this four-day week. RUT is the only one down quite a bite. It usually is a leading indicator. I will keep it in mind. Friday's NFP was in line. But the regular session is closed for Good Friday. Seasonally April is a good month for the bulls. My main goal is to manage my risk levels. 

The IBQ Netliq is 1.8% from 278K to 283K for this holiday-shortened week. The leverage is down 5 pts to 128 with the lower VIX. The realized P/L is -$3.1K. I made too many small RRs. The collected premiums are $6.9K with 4 open positions. I followed the -1+1 rules mostly. I tried to make 1K on each side. It was too aggressive since I had open positions. 

The two personal accounts are still in the mud. I may have only a couple hundred dollars gain for each account. I am in DC to visit the museums this weekend. I don't have exact numbers. I need better trade management for these two accounts. 

Lessons Learned:

It's similar to the previous weeks. It takes time and effort to change a habit. 

1. Watch for the price levels and time of the day to engage my trade. 

2. Notice and recognize my thoughts and emotions. 

3. I should set up requirements for RR. It may be 10 point minimum, 2X for the premiums received.  

4. I shall continue to convert my RUT positions to SPX. It's easier to manage the risk in SPX with much longer trading hours and notation value. 

The Rally Continues 3-31-23

 The major indices closed up for this week. They booked a positive week, month, and quarter for 2023. The economy has been resilient despite the mid-size bank crisis and inflation issues. The large and medium indices are firmly above their 200, and 50 DMAs. The small cap is the lagging sector. The seasonality favors an up trend until May. 

My IB Netliq closed a new high for the last 3 years. It's up 9% from 260K to 277K for the week, including the 10K sent back to ETQ. The options' open value is down 17K from -246K to -229K. The leverage is also down from 140 to 133. The realized profit is $19K for this week and $94K for the month. The collected cash is $6K for the week and $23.9K for March. It's a good week and month. I should manifest outstanding returns. 

The small account got in trouble with BF hedges. It booked a -$2.5K loss. TOS and IBP collected $3823 and $3519 each. It's a total of $7,342 for March. They each gained less than $1K per week for this month. Each account has one SC underwater now. The rally is near the top now. I will hopefully unwind the two ITM positions next week. 

Lessons Learned:     

1. The meditation is going well with the Balance App; I am learning it in a structured way. 

2. I am still working on my patience. Wait for the time and price levels to pull the trigger.  

3. I must consciously calculate the options' price levels and delta.