PSA on Depression plus Weekly

I rarely go off topic on this blog. The apparent suicide of Robin Williams is the event. I volunteer with the mental health group Reovery International

http://recoveryinternational.org/

For those that have friends or relatives NAMI might be a more appropriate group:

http://www.nami.org

If you suffer from chronic depression, please know that you are not alone. There is help out there. Get to a meeting, or find help on line. The depression demons that eventually got Robin Williams stalk many people.

Now back to the week in the stock market. Highlights include selling some puts on SPY. Low lights of the week include adding to a position in JWN before earnings and having it flop. I played BRKB poorly, each move seemed ot result in a bigger ditch. I'll post a monthly summary during the weekend. Here are this week's trades:

Fri Sell JWN Sep 72.5 calls @66.0. Nordstroms earnings report disappoints. Stock gaps lower. I sell some calls to for a tiny premium to hedge my short puts.

Thu Sell IWM Sep 102 puts @113.6. I add more long stock market exposure by selling another layer of puts on the Russell 2000 etf.

Sell BRKB Sep 130 puts @134.2. Ground hog day, another day Berkshire moves up, another layer of puts sold to rebalance. I will close out the short calls on a close above 135.5.

Sell AMGN Sep 120 puts @132.4. Similar deal for Amgen. AMGN having a wild day, first down a couple of points, now up a few. I am short strangles.

Wed Sell BRKB Sep 130 puts @133.2. Rebalance my short strangle on Berkshire Hathaway as the stock continues to rally. 

 

Sell ASH Sep 95 puts @104.2. Similar deal, I rebalance short strangles on Ashland after the stock moves up.

Sell SPY Sep 180 puts @194.1. Ditto. Rebalance short strangles on the S&P 500 etf by selling puts.

Sell JWN Sep 60 puts @67.9. I open a September position in Nordstroms. JWN down today because Macys reported poor earnings. My thinking is that Macys' poor results are in part due to bad weather (snow) during the first quarter. Nordstroms are mostly on the west coast, so the weather issue is much smaller. Earnings are due tomorrow. I am not so bold as to buy calls though.

Mon Sell SPY Aug 189 puts @193.9. I rebalance my net short position in the S&P 500 etf by adding some positive delta. My thinking is that Friday's low is now significant support. 189 is a bit below the low to give a margin of safety. Premium is tiny for this one week option. A bit later I sell SPY Aug 190.5 puts @194.1 as the rally inches higher. Later still, I close a position in SPY Sep 178 puts @194.4, these long puts were part of a backratio. I close this leg at a loss. It seems unlikely that SPY will decline below 178 before September expiration. These three trades bring me to about net neutral on SPY, though that will change as the index moves.

Sell BRKB Sep 125 puts @132.4. Rebalance my short strangle by selling more puts as Berkshire Hathaway rallies.

Sell DIS Sep 80 puts @87.1. Rebalance short strangle in Disney by selling more puts as the stock rallies.

Position summary:

long GLD
net long BRKB IWM JWN SLB XLU

net neutral AMGN APC DIS FB FDX HON SWK
net short ASH MSFT MRK SPY VRSN
expired AIG KORS MON OXY UNH VRX