Options Portfolio Update: Closing EEM a loser

I didn’t have much time to watch the market – Monday’s are busy. Here is what the market did today, went up and this time it stayed up.

The Market 1-day Chart.

1 day stock market recap chart 5-15-17

This sharp upward movement and staying there didn’t help my position in EEM – I closed EEM for a Max+ loss.

EEM Trade Results.

EEM closing trade - loser -- 5-15-17

EEM Trade Stats.

Duration: 28
Credit: $30
Buying power reduction: $70
Profit: -$39
Fees: $2.58
Profit after fees: $41.58
Profit as a percentage of buying power reduction: 60% loss

Quick Options Portfolio Analysis:

I started thinking about how my monthly portfolio recap on May 20th may look; I wanted to be prepared for how bad it might look. I’ve also been thinking about how I want to present my numbers.  I’ve come to a conclusion that I will share the gain/loss as a dollar figure that includes the $250 deposit – this will cancel out my earnings trades that were not in the game plan. I’ll make a notation that shares the fact I made this ‘covering deposit’.

Here’s how the numbers are roughly looking so far. Since April 20th I’ve had 7 closing trades. Below are the stats.

With Earning trades removed (see above, I’m basically depositing $250 to cover the losses of 2 earning trades; and therefore acting like they never occurred however it’s being done transparently and I don’t plan on trading earnings with this account in the future.)

# of Trades: 7 closing trades.
# of Wins & Losses: 3 wins, 4 losses
Profit: -$123
Profits as % change in high water mark:  -6.3%

As you can see the outlook is a losing cycle that is very slightly out sized.. I’m comfortable if this is what a losing month looks like as long as I can win 9 or 10 months a year.

What to do with the remaining old open positions in the new cycle.

I have 7 positions still open and 7 days left until I start trading the next month (July) cycle. So I have 22 days until the next cycle closes (trading with 60 – 45 days to expiration).

All my trades have 32 days to expire; that means technically these could all last 10 days past my due date for premium collection in the next cycle.

I think the higher number of positions I have open when the new cycle starts the slower I’ll open new trades up and until the end of the 15 day window given by trading in the 60 – 45 day to expire range.

Option Portfolio positions and greeks.

all options and greeks 5-15-17

Options Portfolio Net Liquidation and Buying Power Available.

net liquidation and buying power - options portfolio - 5-15-17