OptionPundit

Tag: Consistent Performance

  • OPNewsletter Jun’09 up 11.7% (Open), Jul’09 (Opening Soon)

    Another turbulent but positive week for the broader markets. I sent out a note to OPN Subscribers and Basic Members (Free, till dec’09) that don’t trust the sharp rally post employment numbers. The rally did disappeared.

    Overall OPNewsletter gained almost 3% this week, we did raise investment capital by a few percent behind some adjustments. Overall OPN is up +11.77% (x- brokerage commissions) and +9.27% (including commissions). We have invested almost 60% of 10K assumed capital across various sectors and diversified strategies. As of Friday closing we have 44.11% cash available that we can start employing for July’09 portfolios.

    • RUT Iron Condor was closed for +23%
    • GDX increased to +7.95%  from +2.27%
    • X portfolio increased to +12.37% from +10% last week
    • UPS increased to+6% from -2.33% last week
    • IWM portfolio decreased to +13.3% from 17.78% last week
    • DIA increased to +19.6% from +3.4% last week

    So far 100% winning record on RUT Iron Condor wins since I reopened OPNewsletter in Jan 2008. That is “Consistent Income” from option trading. The above returns doesn’t include returns on speculative trades on POT, GDX and GMCR.

    Though we are short delta, Theta and Vega are in our favor. Just one more down leg in the markets and our results will significantly sweeten by few more percentage points. But again, hope is not a strategy. Believe it or not, market internals are deteriorating day by day and the surprising thing so far is that it is still holding very well. I have been trimming my personal stock holdings as lot of those increased significantly over past few weeks. The only major holdings where I still continue to hold (or rather increase on every pull back) is gold. But pls don’t follow it without full due diligence as gold trading is not for everyone.

    If it walks like duck, if it quacks like duck, it might possibly be duck. The markets are showing symptoms of “Bear Market Rallies” so I shall count for higher probability on that. But as I always mention, be prepared for this rally as a “bull rally” too. Anything can happen and a true market participant is ready for both possibilities.

    Trade carefully, Trade profitably, OP

  • OPNewsletter Jun’09 is up 8.6% (Open)

    A turbulent but positive week for the broader markets, as well as for OPN. OPNewsletter is up +8.6% (x- brokerage commissions) and +6.6% (including commissions). This excludes returns from bonus trades on GDX straight calls, GMCR and POT. Though we have started generating credit thus increasing the cash portion, we are still assuming 57.3% of 10K as maximum capital invested to calculate OPN results. 10K is a model capital, but these are pretty much scalable to several times.

    Sectors include – Steel, Gold, Transport, Overall General Market and Strategies include Iron Condor, Calendars and Covered Calls.

    • GDX is down from +5.3% to +2.27%
    • X is flat +9.6% last week to +10%
    • UPS is up -5.11% last week to -2.23%
    • RUT Iron Condor is up from +18.27% to +22.12%
    • IWM is flat 17.78% last week to +18.28% this week.
    • DIA is up from +3.4% to +6.6%

    This doesn’t include returns on POT (>+30%), GDX (almost double) and GMCR(>+5%). If you would like to join OPNewsletter, pls click here.

    I shared another free trade idea [those who are either Basic Member (Free until Dec’09) or OPN Members received the alert] on Moody’s (MCO) which is also in positive territory inspite of MCO moving up.

    My Bias- I am still in the bear’s camp but I am also doing selective buying.

    Have a great weekend, profitable trading, OPПодаръци