Another excellent month for OPNewsletter delivering almost double of monthly aim (5-7%). OPNewsletter returned 13.2% in Dec 2009 thus completing a full year without any monthly loss in 2009. Jan 2010 portfolios are already up +3.7% and we have invested 78% of portfolio capital across 4 different income portfolios.
OPNewsletter has been consistently outperforming broader markets. Pls read customer reviews; If you would like to sign-up for OPNewsletter directly, pls click here to sign-up for the wait-list (subscription is by invitation only).
For the benefit of other OP redears, I shall restate what I shared with OPN members earlier.
For all the portfolios we are short delta. And pls note this is an intended directional strategy for a short period . I have chosen to be short delta as I am sensing a sudden move in near future; My guess is a downside move but it may happen on upside as well. If it is towards upside, I am ok to give away a few % from the portfolio gains but if this is a downside move, we shall reap larger gains both due “short delta” and “rise in IV“. This is a short term strategy, though. If that doesn’t happen anytime soon, we’ll adjust the portfolios to make it more delta neutral.
Markets are not heading for another 50%+ run-ups from here. Most of the good news has already been factored and the economy now has to deliver.
Could US default on it’s debt?
Australian Opposition’s new finance spokesman, Barnaby Joyce, believes the American Government may default on its debt, triggering an ”Economic Armageddon” that will make the recent global financial crisis pale into insignificance. [In 1971, the US reneged on its agreement to settle international debts with gold (Nixon Shock)].
I don’t think an “Economic Armageddon” is on its way. There is no doubt in my mind that we might be headed for some rough times, but this is also quite sure that we are not going to have a repeat of Great Depression. I am an optimist about the future, however and whatever “new normal” maybe, and that world trade will start to flow once again. Albeit, when it comes to stock markets and real money investing, I would caution that trade carefully from here onwards. We have not seen any significant pull back of this amazing market ride since March lows and it can not go up, up and away all the time. If you have enjoyed this bull market, why not book some profits or hedge it against any pullbacks.
If you would like to experience some real world option trading, to generate consistent income, together. pls click here to sign-up for the OPN wait-list (subscription is by invitation only). However, if you would like to know what OPN customers think first, pls read customer reviews.
Profitable Trading, OP