Weekly: Getting hit v Getting run over

At my stock market meetup, I hear the following:

You are going to get hit, but avoid getting run over.


A football analogy follows. If a quarterback holds the ball too long, odds of a big hit increase. Sometimes an incomplete pass or even taking a safe sack is a relatively good outcome. Bad outcomes would be a turnover, or injury. This lines up with my Rule #1: Live to trade another day. I use position sizing and mental stop loss levels to achieve this goal. I observe many novices trying to turn every trade into some kind of win. Sometimes it is better to throw the ball away and start over.


I get whipsawed near the lows on a few positions. The losses are big, but manageable. SMH semiconductors and XLF financials are leading the market lower. Financials and semis are about a 40% weight in the S&P 500, so the broad market can’t sustain a rally without these two sectors participating.


Here are the trades (p=puts, c=calls, number near end is price per contract, sell means sell-to-open, cover means buy-to-close):


Mon Deep red floods my screen as trade war fears increase. I lose over 3% today. I take some profits, rebalance some other positions. A few underlyings are nearing my mental stop levels.


Sell BA Jul 365 c 93
Sell SPY Aug3 284 c 29
Sell IWM Aug 176 c 36
Sell NFLX Jul 480 c 315


Sell NVDA Jul 272.5 c 76
Sell QQQ Aug 185 c 46
Sell TSLA Jul 385 c 430
Sell BABA Jul 217.5 c 55

All these 12 covered for profit to reduce risk, if the move down continues.
Cover SPY Jul6 260 p 39
Cover SPY Jul 254 p 66
Cover SPY Jul13 254 p 68
Cover TSLA Jun29 300 p 144

Cover TSLA Jul 420 c 175 (roll down)
Cover QQQ Jul 153 p 46
Cover IWM Jul 148 p 32
Cover AAPL Jul 165 p 55

Cover FB Jul 175 p 84
Cover NFLX Jul 300 p 195
Cover NVDA Jun29 210 p 26
Cover QQQ Jul13 155 p 42

Tue Market has a mild up day after Monday’s steep sell off. I make up more than half the loss.
Sell SPG Aug 145 p 67
Sell GOOS Jul 67.5 c 17

Wed An ugly reversal day as the DOW loses a 300 point gain to close down over 160. I lose another 2.2%. I got busy the last hour of trading and several underlyings closed below mental stop levels. I plan to close them tomorrow.

Sell QQQ Jul 180 c 25
Sell SPY Aug 184 c 52

Sell TIF Aug 115 p 49
Sell TSLA Jul 290 p 263

Thu A mild rebound. I close out four positions for losses as they cross the mental stop level (strike price). Three of the four rebound by the end of the day, making for a frustrating whipsaw day. However, the theme it to take a hit, to avoid the chance of getting run over.

These four closed for losses:
Cover SPY Jun29 270 p 171
Cover CAT Jul 135 p 505
Cover WYNN Jul 165 p 635
Cover BABA Jul 185 p 715

I sell further out puts, but the main damage is done:
Sell BABA Jul 150 p 31
Sell CAT Jul 110 p 20
Sell WYNN Jul 135 p 17

Sell AMZN Jul 1900 c 140
Sell AMZN Jul 1380 p 158
Sell GRUB 121 c 22
Sell MA Jul 210 c 33

Sell XOP Aug 35 p 16
Sell RH Jul 175 c 15
Sell TIF Jul 145 c 22
Sell TSLA Jul27 300 p 550

Fri Another volatile day, as the market rallies then fades. Unfortunately, I add longs near the highs.

Sell QQQ Aug3 155 p 66
Sell MA Jul 180 p 36
Sell SPY Aug3 252.5 68

Sell NKE Jul 72.5 p 15
Sell SPY Jul 280 c 30
Sell IWM Jul 171 c 15

Weekly: Down we go

A rough week for me. I lose more than 2%. AMZN BA CAT TSLA lead the list of problem underlyings. DIA has eight straight down days before a relief rally on Friday. Tesla goes up quickly, then down quickly.

Here are the trades (p=puts, c=calls, number near end is price per contract, sell means sell-to-open, cover means buy-to-close):

Mon Tesla rallies for the seventh day in a row.
Sell TSLA Jul 310 p 432

Sell TSLA Jun22 330 p 40
Sell TSLA Jul6 310 p 151

Sell FB Jul 180 p 59
Sell GOOS Jul 50 p 25 new long

Tue An additional $200 billion in tariffs against China, lead to a steep opening sell off. I take a big loss on one leg of sold Boeing puts. I cover some sold SPY puts for tiny profits, to reduce risk. Tesla finally dips on news.

Cover SPY Aug 254 p 118 all four for tiny profit
Cover SPY Jul 260 p 80
Cover SPY Jul13 260 p 64
Cover SPY Jul 257 p 71

Cover BA Jun29 340 p 715 for huge loss -650%
Sell SPY Jul27 285 p 33

Sell QQQ Aug 190 c 27
Sell BA Jul 380 c 120

Sell BA Aug 385 c 315
Sell BA Jun29 370 c 81

Sell TSLA Jul 450 c 195
Sell NVDA Jul 300 c 28

Sell WYNN Jul 200 c 39
Sell AAPL Jul 200 c 42

Sell IWM Jul 175 c 18
Sell TSLA Jul6 425 c 134

Sell NFLX Jul 330 p 209
Sell CAT Jul 162.5 c 18

Wed Markets recover. Netflix roars to new highs, over 414 now.
Sell IWM Jul27 157 p 50

Sell NFLX Jul 340 p 268
Sell QQQ Jul27 162.5 p 66

Sell SPY Jul27 258 p 67
Sell FB Jul13 185 p 76

Sell SHAK Aug 52.5 p 45
Sell FB Jul 185 p 77

Sell BA Jul 300 p 88
Sell IWM Jul27 157 p 50

Sell NFLX Jul 340 p 268
Sell QQQ Jul27 162.5 p 66

Sell SPY Jul27 p 258 67
Sell FB Jul13 185 p 76

Sell FB Jul 185 p 77
Sell SHAK Aug 52.5 p 45

Sell BA Jul 300 p 88
Sell TSLA Jul13 305 p 305

Sell IWM Jul 159 p 49

Roll AMZN for 244 credit: Cover AMZN Aug 1350 p 306 for profit
Sell AMZN Aug 1425 p 545

Thu Another leg down makes for painful day for me, as I lose another 1.2%, now down over 2% for the week. AMZN BA CAT being some of the bigger losers today.

Sell TSLA Jul13 340 c 220
Sell CAT Jul 160 c 19

Sell VLO Jul 130 c 15
Sell BA Jul13 380 c 39

Sell BA Jul 375 c 89
Sell AMZN Jul 2000 c 120

Fri Sell QQQ Jul 184 c 22
Sell TSLA Jul 420 c 295

Sell TSLA Jul13 400 c 260
Cover TSLA Jun 330 p 01 for peace of mind a few minutes before the close.

Monthly 84-6, Grade B

Another positive month for me, as the market rallies. I count 84 winners, 6 losers for this monthly option cycle. Market ran a bit too hot for me. I took some big losses on sold calls. Stupid loss on one Tesla leg, cost me big time. I sold a cheap option with high risk and suffered one of the biggest percentage losses ever, about 5500%. So the call buyer made about 55x their money. Most galling was that had I held until expiration, the option expired worthless.

The lesson isn’t to let it ride, because some other sold calls on NFLX and TSLA would have become even bigger losers had I not honored the mental stop loss levels and taken the hits.

Here are a few etfs that I track and their year-to-date performance:

IWM +10.1% Russell 2000 US small cap
SPY +4.2% S&P 500 US large cap

GLD -1.9% gold
SLV -2.4% silver

EEM -4.0% emerging markets equity
TLT -5.1% US 20-year treasuries

My trading account up 9.2%, which is good, not great. There is room for improvement. Last year’s big winner EEM is lagging this year. Gold and silver have been dead money for a while now. Bonds have trended lower. The cliché Sell in May hasn’t been working. I did lighten up a bit early in May. The strong rally had me rebalancing, and taking losses on some sold calls. Despite being wrong on the general market direction, I made close to 3% for the month. I’ll take that.

Going forward, the bull market is still intact. Far too many folks on Reddit, are far too cautious. Many in the fearful camp are relatively inexperienced folks being scared by click-bait type of articles, or focusing on one or two indicators. It isn’t all puppies and rainbows, but the preponderance of evidence favors a continued bull market.

I keep watching the yield curve. If all goes on schedule, the dreaded inverted yield curve will come into effect by late this year. This is a mild bear market indicator, so it doesn’t mean head for the hills. It may mean to lighten up and shift to a slightly bearish bias, from my slightly bullish bias.

Weekly: Netflix leads rally

Netflix is now worth more than Disney. I take a loss on some sold NFLX calls. Market dips on Friday, after more up days.

Here are the trades (p=puts, c=calls, number near end is price per contract, sell means sell-to-open, cover means buy-to-close):

Mon Rally rolls on. I take a loss on some sold SPY calls.
Cover SPY Jun22 279 c 147 for 600% loss

Sell BA Aug 320 p 268
Sell NFLX Jul 315 p 258

Sell SPY Jul 265 p 105
Sell SPY Aug 261 p 151

Sell QQQ Aug 158 p 107

Tue Sell SPY Jul6 266 p 53
Sell TSLA Jun29 300 p 199

Wed Netflix rallies on news. Market fades late after Fed hike and news.
Cover NFLX Jun 370 c 470 for 500% loss

Sell TLSA Jun22 300 p 101
Sell QQQ Jun29 167 p 34

Sell SPY Jun29 270 p 55
Sell NFLX Jul 500 c 52

Thu Sell IWM Aug 152 p 65
Sell RH Jul 125 p 95 new long

Sell QQQ Jul 164 p 57
Sell TSLA Jul 300 p 385

Sell TSLA Jul6 300 p 234

Fri Sell BA Jul 400 c 62
Sell BA Aug 430 c 57

Sell SPY Aug 290 c 51

Weekly: Nightmare on Tesla street

DIA has its best week of the year, up 2.8%, other averages up big too. TSLA has a huge rally after its shareholder meeting. I get burned badly, closing some sold calls near the top of the move. Thankfully the positions are small. The pain is real, especially with a reversal after I cover. Despite the TSLA crap storm and a 5500% loss on one leg, I eek out a tiny gain for the week.

Here are the trades (p=puts, c=calls, number near end is price per contract, sell means sell-to-open, cover means buy-to-close):

Mon Rally rolls on. Nasdaq at a new high.

Cover QQQ Jun 173 c 205 for big loss
Sell SPY Jun22 261 p 44

Sell SPY Jul 257 p 100
Sell AAPL Jul 175 p 60

Sell IWM Jul6 152.5 p 38
Sell QQQ Jul6 161 p 47

Sell NFLX Jun29 325 p 136
Sell WYNN Jul 210 c 75

Sell NVDA strangle 201: Sell NVDA Jul 235 p
Sell NVDA 315 c

Sell TSLA Jun 260 p 65
Sell SPY Jun 265 p 37

Roll AMZN for 529 credit: Cover AMZN Jul 1350 p 170
Sell AMZN Aug 1350 p 699

Tue Sell FB Jul6 177.5 p 54
Sell GRUB Jul 90 p 47

Sell SPY Jul6 260 p 68
Sell TSLA Jun8 322.5 c 15

Sell QQQ Aug 150 p 59
Sell WYNN Jun 190 c 42

Wed Tesla up after shareholders meeting.
Sell TSLA Jun22 275 p 197

Sell TLSA Jun 280 p 100
Sell BA Jul 325 p 160

Sell SPY Jul13 260 p 71
Sell SPY Aug 254 p 130

Roll BABA for 73 credit: Cover BABA Jul 165 p 19 for profit
Sell BABA Jul 185 p 92

Rally picks up speed, I scramble to add more long delta.

Sell TSLA Jun 290 p 122
Sell BA Jun29 340 p 96

Sell SPY Jun22 266 p 42
Sell SPY Jul 260 p 87

Sell QQQ Jul 161 p 61
Sell TSLA Jun29 280 p 227

Thu Tesla rallies again. It becomes a nightmare day for me, as I cover sold calls for huge losses near the top, then TSLA reverses. Yikes. Thank goodness for small position sizing.

Cover TSLA Jun8 322.5 c 845 might be biggest percentage loss ever 5500% range. Call buyers could have made 55x their money, trading opposite me. By the end of the day, TSLA lower.

Cover TSLA Jun 330 c 935 near the exact top about a 2000% loss. Ouch. Double ouch that it was the top of the day so far.
Sell TSLA Jun 295 p 112

Sell TSLA Jun 390 c 34
Sell TSLA Jun22 375 c 84

Sell TSLA Jun29 395 c 52
Sell BABA Jul 240 c 36

Sell FB Jul 215 c 31
Sell SPY Jul 265 p 110

Fri Sell SPY Jul 262 p 92
Sell COST Jul 185 p 41

Weekly: Yo-Yo market

Market drops, then recovers, drops then recovers in yo-yo action. Overall, the market and my account are up for the week.

Here are the trades (p=puts, c=calls, number near end is price per contract, sell means sell-to-open, cover means buy-to-close):

Tue News from Italy is the catalyst for a market drop.
Sell SPY Jun22 279 c 21
Sell NVDA Jun29 210 p 51

Sell SHAK Jul 47.5 p 25
Sell CMG Jun 395 p 90

Sell CMG Jun 500 c 20
Sell MSFT Jun 92 p 20

Sell QQQ Jun29 c 15
Sell SPY Jul 281 c 40

Sell BRKB Jul 210 c 47
Sell JPM Jun 115 c 12

Wed Markets rebound, then gain strength. I add long delta through out the day.
Sell DVN Jul 35 p 27

Sell FB Jun29 167.5 p 41
Sell HES Jul 50 p 31 31

Sell MA Jul 170 p 79
Sell NFLX Jun29 300 p 86

Sell QQQ Jul6 155 p 53
Sell SPY Jun29 255 p 75

Sell JPM Jul 95 p 41
Sell TSLA Jun 245 p 70

Sell BRKB Jul 175 p 56
Sell TIF Jul 110 p 29

Sell MU Jul 45 p 17
Sell IWM Jun 153 p 18

Sell SPG Jul 145 p 46
Sell QQQ Jul 153 p 72

Sell SPY Jul 251 p 109
Sell IWM Jun29 153 p

Thu Yo-yo market goes back down.
Sell GRUB Jun 92.5 p 20
Sell TSLA Jun 330 c 41

Sell BA Jun 380 c 28
Sell FB Jun29 212.5 c 23
Sell AAPL Jul 210 c 20

Fri Week ends on a positive note. Costco and Ulta Beauty modestly lower on earnings.
Sell QQQ Jul13 155 p 51
Sell SPY Jul13 254 p 84

Sell COST Jun 210 c 10
Sell MU Jul 90 c 11

Sell QQQ Jul 157 p 65
Sell FB Jul 175 p 88

Sell SPY Jul 254 p 102
Sell NFLX Jul 300 p 251
Sell BA Aug 295 p 196

Weekly: Profits at Tiffany’s

Another positive week for me. TIF gaps higher on earnings. I sell puts. I added longs in oil producers, only to see oil tumble on Friday.

Here are the trades (p=puts, c=calls, number near end is price per contract, sell means sell-to-open, cover means buy-to-close):

Mon Rally day on easing trade tensions. Markets up but off their highs.
Sell AMZN Jul 1350 p 600

Sell SPY Jun29 255 p 74
Sell BA Jun 325 p 104

Sell SHAK 52.5 p 26 new long
Sell IWM Jul 148 p 64

Sell TSLA Jun1 250 p 88
Sell BA Jul 310 p 161

Tue Sell BA Jul 415 c 78
Sell TSLA Jun1 315 c 35

Wed Tiffany’s and Lowes up on earnings.
Sell TIF Jul 105 p 56
Sell LOW Jun 85 p 20

Sell SPY Jun22 282 c 19
Sell WYNN Jul 165 p 96

Sell JPM Jun 100 p 16
Sell BRKB Jul 170 p 43

Sell NFLX Jun 305 p 114
Sell NVDA Jun 205 p 29

Sell BABA Jul 165 p 61
Sell TIF Jun 115 p 65 add

Thu North Korea peace talks on hold. Market falls then rallies off the lows.
Sell WFC Jul 47.5 p 19
Sell ULTA Jun 200 p 55

Sell CAT Jul 135 p 78
Sell SPY Jun29 282 c 20

Sell TSLA Jun8 230 p 84
Sell CMG Jun 395 p 90

Sell TGT Jul 60 p 21
Sell NFLX Jun22 315 p 172

Sell INTC Jun 50 p 14
Sell VLO Jul 100 p 29

Sell HFC Jul 60 p 30
Sell XOP Jul 35 p 18

Fri Sell QQQ Jun29 157 p 55
Sell SPY Jul 286 c 18

Sell SPY Jun 280 c 14
Sell SPY Jul6 254 p 78

Monthly: best so far 104-7, Grade A-

This is my best month of the year so far. Up about 3.4% for the month. I count 104 winners 7 losers, self grade A-. The losers include some whipsaw action in AAPL and BA.

Here are some etfs that I track:
IWM +6.2% Russell 2000 U.S. small cap
SPY +2.0% S&P 500 U.S. large cap

GLD -1.0% gold
EEM -2.2% emerging markets equity

SLV -3.2% silver
TLT -7.6% U.S. 20 year treasuries

My portfolio +6.2% year to date, so quite respectable. It is interesting that the two U.S. stock etfs are up for the year, the other four are now down.

I took on more risk in April and May and it paid off. In particular I sold strangles on AMZN. The high dollar value, translates into tail risk, on a market shaking move.

My directional trades haven’t been very good. The minor adjustment to rebalance with layers further out in time seems to be working. Before I was selling short term premium and sometimes getting whipsawed.

For now it is still a bull market. However, one troubling shift in sentiment on Reddit, is more posts about trading for a living, and novices encouraging other novices to jump in with limited capital. This is the kind of sentiment shift that occurs at market tops. I’m not predicting, but between that and some recent Etrade commercials about yachts and a wealthy lifestyle, are what we see at tops. There remains healthy skepticism, so it is isn’t all red lights. The recent eight straight up days, shows there is still money to come in.

Weekly: Flat is good

A flat week is good news for me. After last week’s scalding hot rally market, the eighth rally day comes on Monday, but then the market sputters. I add more oil producer longs, but still a small position. Many of my AMZN positions expire for 100% gains. I still have the first position, a Jun 1350/1400/1450 put butterfly. That original trade is down a bit, is near delta neutral, defined risk.

Here are the trades (p=puts, c=calls, number near end is price per contract, sell means sell-to-open, cover means buy-to-close):

Mon Eight rally days in a row. I close out another leg for a big loss.
Cover QQQ May 170 c 128 for big loss

Sell WYNN Jun 170 p 70
Sell SPY Jun 258 p 68

Sell CAT Jun 135 p 40
Sell HFC Jun 60 p 30 new long in Holly Frontier Corp

Sell VLO Jun 105 p 56
Sell UNH Jun 210 p 32

Sell NVDA May25 235 p 54
Sell NFLX Jun 280 p 83

Sell SPY May 267 p 18
Sell TGT Jun 62.5 p 31

Tue First down day in a while.
Sell NVDA May25 277.5 c 17
Sell QQQ Jul 182 c 26

Sell SPY Jul 290 c 24
Sell SPY Jun1 280 c 17

Sell TSLA May25 327.5 c 34
Sell WYNN Jun 220 c 26

Wed Sell MU Jun 45 p 23
Sell SPG Jul 135 p 61

Sell SPY Jun8 259 p 48
Sell QQQ Jun22 155 p 58

Fri Sell BA Jul 290 p 108

Weekly: 7 up days in a row

Seven up days in the row are a bit too much heat. SPY up about 2% for the week. My account up about half that. I close out several sold calls for big losses. For this Goldilocks, the soup is a bit too hot. Profit is a profit, but more profit tends to be more better.

Here are the trades (p=puts, c=calls, number near end is price per contract, sell means sell-to-open, cover means buy-to-close):

Mon Market opens higher, then gives up most of the gains. I take a loss on some sold AAPL calls.

Cover AAPL May 185 c 361 for big loss
Cover BA May 360 c for profit

Sell QQQ Jun8 153 p 61
Sell SPY Jun8 250 p 70

Sell FB May 167.5 p 40
Sell QQQ May 158 p 30

Sell AAPL Jul 165 p 100
Sell SPY Jun29 243 p 103

Sell BA May 320 p 140
Sell HES 52.5 p 37 new long

Sell IWM Jun 145 p 47

Tue Cover BA May 355 c 82 for break even profit
Sell TSLA MayW4 245 p 88

Wed Stock market rallies runs too hot. I take a loss on one leg of sold Boeing calls, and take profits on some sold QQQ calls.

Sell AAPL Jun 170 p 63
Sell FB Jun 165 p 73
Sell FB May 172.5 p 32

Sell LMT Jun 290 p 110
Sell QQQ Jun8 156 p 52

Sell SPY Jun8 255 p 64
Sell to close SPY Jun 250 p 68 for big loss

Cover BA May 345 c 505 for big loss
Cover QQQ May 172 c 26 for profit

Thu Market rally rolls on for sixth day in a row. The temperature continues to be too hot for me. I take big losses on sold calls on AAPL, FB, SPY. Three legs closed for huge losses. The bright side is that I eek out a gain for the day, despite being burned by the too hot market.

Sell SPY Jun1 259 p 51
Sell NFLX Jun1 297.5 155

Sell BABA Jun 170 p 44 new long
Sell SPY May25 262 p 39

Sell QQQ Jun 157 p 63
Sell AAPL Jun 175 p 93

Sell COST Jun 170 p 42 new long
Sell IWM JunW1 152.5 p 30

Sell SPY Jul 248 p 119
Sell QQQ Jul 150 p 86

Roll AAPL for huge debit: Cover AAPL Jun 190 c for big loss
Sell AAPL Jun 205 c 63

Cover FB May 185 c 237 for big loss
Cover SPY May 272 c 190 for big loss

Fri Sell NVDA May 230 p 23 earnings
Sell SPY Jun22 254 p 81

Weekly: The Big Buy Button

For the week, I eek out a small gain despite feeling out of synch most of the week. On Thursday, it is as if someone hit a massive buy button. The DJIA moves up about 800 points in less than two days. Highlights of the week include taking a loss on some some ULTA calls, discomfort in AAPL as it rallies, a quick hit profit shorting GILD, a big loss on a long call leg in BA.

Here are the trades (p=puts, c=calls, number near end is price per contract, sell means sell-to-open, cover means buy-to-close):

Mon Market rally at the open fades. I get whipsawed on ULTA, covering for a loss only to see it reverse lower.

Sell BA May 360 c 83
Sell MCD May 150 p 18

Sell QQQ Jun 145 p 76
Sell SPY MayW2 275 p 40

Sell UNH Jun 210 p 74
Cover ULTA May 255 c 640 for big loss

Tue Sell in May? I lighten up a bit by selling calls.
Sell BA Jun 375 c 78
Sell BA May 355 c 86

Sell FB May 185 c 36
Sell LMT May 345 c 15

Sell QQQ May 170 c 15
Sell SPY May 272 c 36

Wed Apple earnings good. Gilead not good. I short GILD add AAPL longs

GILD vertical for 110 debit: Buy GILD Jun 65 p 152
Sell GILD Jun 60 p 42

Sell AAPL May 160 p 27
Sell AAPL Jun 155 p 58

Sell FB Jun 155 p 77
Sell DVN Jun 32 p 20 new long

Sell COST Jun 170 p 70
Sell AAPL May 165 p 39

Sell VLO Jun 97.5 p 43

Sell TSLA strangles: Sell TSLA May 195 p 50 50
Sell TSLA May 380 c 21

Sell-to-close BA Jun 350 c 298 for big loss

Cover SPY May 252 p 65 for profit
Cover SPY MayW2 252 p 32 for profit

Thu Whipsaw action as the market moves sharply lower then rebounds a bit.
Sell AAPL JunW1 160 p 48

Sell AAPL Jun 190 c 52

Sell BA Jun 290 p 233
Sell BA May 345 c 90 this leg doubles by the end of the day

Sell SPY MayW4 274 c 22
Sell TSLA May 340 c 20

Close GILD vertical 162 for profit Jun 65/60 put vertical
I take the money and run, 40% one day profit on this long premium trade

Cover BA Jun 375 c 74 for profit

Fri Apple up on news of Warren Buffett adding more shares. It gets uncomfortable.
Sell AAPL May 167.5 p 40
Sell AAPL Jun 165 p 94

Sell NFLX strangles 163: Sell NFLX Jun 370 c
Sell NFLX Jun 250 p

Sell QQQ Jun 148 p 68
Sell SPY MayW4 251 p 57

Sell BA MayW4 297.5 p 107

Add more legs as NFLX rallies: Sell NFLX May 275 p 33

Sell NFLX Jun1 280 p 121

Sell SPY Jun1 251 p 63

Sell QQQ Jun1 153 p 52

Sell TSLA May 240 p 93
Cover AAPL May 190 c 73 for break even loss

Weekly: AMZN BA save the day

Good earnings from Amazon and Boeing highlight a positive week for me. Market is fairly flat this week. I am up over 1%. Market looks to be stuck in a trading range, which might be good news for option premium sellers.

Here are the trades (p=puts, c=calls, number near end is price per contract, sell means sell-to-open, cover means buy-to-close):

Tue A wild day, with the market opening higher, then plummeting, then recovering just a bit. I was down about 1.2%, QQQ led the way down -2.1%, SPY -1.3%. I reduce risk by taking some profits.

Cover QQQ AprW4 153 p 31
Cover SPY MayW1 247.5 p 30

Cover SPY MayW2 245 p 52
Cover QQQ MayW1 147 p 35

I initiate two short positions:
Sell CAT May 162.5 c 38
Sell LMT May 370 c 60

Wed Boeing earnings are good. I do a bunch of BA trades, ending the day slightly long.
Sell UNH May 250 c 31

Sell BA May 375 c 59
Sell BA Jun 390 c 99

Sell SPY May 275 c 32
Sell QQQ Jun 173 c 33

Sell WYNN May 210 c 35
Sell CAT May 120 p 30

Sell BA May 295 p 157
Sell LMT May 290 p 55
Sell BA Jun 290 p 219

BA backratio 465 debit: Buy BA Jun 350 c 1065
Sell 2x BA Jun 375 c 303 each

Thu Facebook up on earnings.
Sell FB May 150 p 26
Sell FB Jun 205 c 21

Sell TXN May 90 p 27
Sell FB May 155 p 42

Sell QQQ Jun 138 p 57
Sell SPY May29th 245 p 64

Sell BA May 305 p 125
Sell VLO May 95 p 19 new long

Sell ULTA May 220 p 90
Sell SPG Jun 125 p 50

Sell NFLX strangles: Sell NFLX May 260 p 69
Sell NFLX May 380 c 29

Fri Amazon has great earnings, opens way higher than fades. Intel does similar, gapping higher on earnings, then fading. I post modest gains.

Sell AMZN May 1850 c 54
Sell AMZN May 1350 p 200

Sell INTC May 60 c 14
Sell INTC May 49 p 19

Sell MCD May 140 p 22 ahead of earnings
Cover BA Jun 290 p 195 for profit

Monthly: 115 – 10 Grade B, chasing the AMZN butterfly

I count 115 winners 10 losers for the April option cycle. Self grade is B. I am up about 2% for the month. I took on more risk to get that gain, and took some big losses.

My Amazon adventure started innocently, a low risk butterfly out to June. AMZN moved up the next day, and the next. I sold some puts to get back the cost of the butterfly. A few Trump tweets later, I was down like 500% on those legs. I spent the rest of the month rebalancing, doing a few day trades. It all worked out, though I took on a lot of tail risk. AMZN is an expensive underlying. So selling multiple layers of options naked means a large tail risk, if there is a market melt down or melt up. It worked out for me this time. I also profited on FB and in a small way on NFLX.

Some etfs that I track, year to date, best to worst:

GLD +2.4%
IWM +2.1%

SLV +0.9%
EEM +0.3%

SPY +0.2%
TLT -6.6%

My account is up 2.6%, so things are looking up. Hard to say which way the market wants to go. Just when I think the bull is back, the bears come back in. If I knew, I wouldn’t have to hedge, I could trade directionally.

Weekly: up then down

I am up for the week. The declines on Thursday and Friday, made it feel like a sour week. I takes some more losses. I profit in a small way from NFLX earnings.

Here are the trades (p=puts, c=calls, number near end is price per contract, sell means sell-to-open, cover means buy-to-close):

Mon Rally back on track after Syria attacks. It gets a little too hot and I close two legs for losses. Despite the losses, I am up a decent amount for the day. Astrology fans, Mercury is back to direct (was retrograde). For believers, the retrograde period brings higher chances of miscommunication, mechanical and electrical problems.

Cover COST Apr 195 c 188 for loss
Cover ULTA Apr 230 c 265 for loss

Sell IWM May 144 p 56

Sell JPM May 95 p 20
Sell QQQ Jun 140 p 86

Sell SPY MayW1 253 p 57
Sell AAPL May 155 p 68

Sell COST May 175 p 57
Sell SPY MayW2 252 p 70

Sell COST May 210 c 30
Sell ULTA May 255 c 80

Sell NFLX strangle: Sell NFLX Apr 250 p 45
Sell NFLX Apr 370 c 48

Tue Rally continues. I am up 0.63% today. Nice gain for one day, but lags SPY which is up +1.07%, and QQQ +2.16%. I do tend to lag during trending up moves.
Sell SPY MayW1 256 p
Sell QQQ MayW2 152 p 52

Sell SPY May 252 p 74
Sell UNH May 210 p 43 earnings

Sell SPY Apr 263 p 16
Sell ULTA May 205 p 75

I take some risk off by closing some sold calls for a profit.
Cover SPY May 280 c 70 for tiny profit
Cover NFLX Apr 370 c 17 for profit

Cover AMZN May 1700 c 570 for profit
Cover QQQ Apr 169 c 18 for profit

Wed A quiet day. I roll some positions, close some others.
All these are closed for profit:
Cover SPY Apr 252 p 04

Cover QQQ May 145 p 30
Cover AAPL May 150 p 29

Cover AMZN Apr 1600 c 66
Cover IWM May 141 p 23

Sell SPY May 254 p 74
Sell QQQ May 152 p 61

Sell AAPL AprW4 170 p 29
Sell IWM May 148 p 47

Thu Amazon up after publishing Prime subscriber numbers. Apple down on news.

Sell AAPL AprW4 182.5 c 16
Sell AMZN May 1250 p 335

Cover QQQ May 150 p 59 for profit
Cover SPY May 247 p 64 for profit

Fri Apple continues to decline. I close one leg for a big loss.
Cover AAPL AprW4 170 p 262 for loss
Cover SPY MayW1 253 p 51 for profit

Cover SPY May 250 p 84 for profit
Sell AAPL May 185 c 68