Another rough day in the markets and yet another new high for my portfolio. The portfolio is now up over 20% from the start of my trading, well off the 50% losses I was experiencing only a couple of weeks ago. Today’s closing trades included profits in XL, LM, CY, and SINA with losses in HRB. HRB hit my generous stop of $22 and so I’m out with my max loss. The winners combined for a total of $1500 in profits.
Today’s Profits / Losses: +$1219.00
Contracts traded: 17
*** New Portfolio Highs ***
Although my portfolio has hit its highs, my current risk allocation will remain unchanged until the end of the month. I need to make sure my new trading plan is working and that this run on the new highs isn’t based on sheer luck. I am expecting some writedowns in the next couple of days which will damper the fun a bit but nothing ever goes straight up or straight down.
They weren’t kidding when they said markets generally close higher the first day of the 2nd half of the year. I was rather disappointed at the bounce this afternoon. It felt more forced than anything else. In any event, I went ahead and lightened my put positions a bit by selling off a third of the financials I held. I currently have 1 contract of XL and LM remaining. I also sold off a contract from my CY puts. The bounce, while it didn’t feel well, still didn’t leave a great taste in my mouth. If anything, I can always reload tomorrow.
Profits/Losses Today: +$664.00
*** New Account High! ***
Today looked to be a fairly mild day until about 15 minutes before the close where everything began to tank. I’ve been running a fairly heavy negative delta portfolio so I benefited quite a bit from the last minute sell off. I went ahead and trimmed my positions in XL and LM by a contract each, reducing my negative delta by about 120 points. I still own 2 contracts of XL and LM and expect both to continue their downward spiral along with the rest of the financial group.
Total Profits / Loss: $336.50
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But I’m now officially positive on the Profit / Loss statement with my options portfolio. And guess what? It took almost exactly 1 year. The experienced traders weren’t kidding around when they said it normally takes a year before someone can turn a profit in the markets. The goal now is to hold the line as best as possible. Over the past year I’ve learned quite a bit. Let’s see if I can stick with it this next year.

Today was an utter bloodbath for the bulls. Everything that could hurt the markets did and as a result all indices were down 3%. How’d I do?

Off to pack for my trip to Orlando. I’ll be back later on this evening. Enjoy the rest of your evening!