Sunday, May 12, 2019

Weekly: Tariff two step and Disney

What a week. Tariff tweets moved the market lower on several days. Despite no agreement, the market recovered some on Friday. My many short strangles on Disney came in for profit, when the stock didn’t move much after earnings. I could have exited better, but DIS boosted an otherwise dismal week. I was down about 2.2% for the week, but it could have been much worse. I took a lot of losses, especially in AAPL, cutting long exposure as the market moved lower. I am slightly long most underlyings. I survive an earnings miss as TTD TradeDesk.

The recovery on Friday, despite the failed IPO by UBER and no agreement on trade, is discouraging for would be bears. If the market can’t go down on that news, the path of least resistance may be higher to neutral, so that’s how I am positioned. It can all change in an instant. I continue to focus on my desired delta. Once in a while I slip back into the mode of counting wins and losses, but come back to my 2019 focus on net delta.

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