A newbie's index option journal

Discussion in 'Journals' started by JLB123, Feb 17, 2007.

  1. JLB123

    JLB123

    2007-03-06 Trading Activity :

    Initiated long position with SPY March 137 call @3.60.

    Open position : 3
     
    #21     Mar 6, 2007
  2. gg12

    gg12

    Could work. I also expect the SPY to go up.

    Be aware that the deceasing VIX eats premium of the calls.
     
    #22     Mar 7, 2007
  3. JLB123

    JLB123

    JW Trading Journal : 2007-03-8 Result - Taking profit and changing gear a little.

    Closed SPY MAR 135 Call @5.90, + 59.5%
    Closed SPY MAR 137 Call @4.00, + 11.1%

    2007-03 month to date return 4.89%
    2007 year to date return 9.65%
    vs. 2007 year to date SPY (S&P500) return -0.62%

    Initiate Long position with DIA Mar 120 Call @3.20
    Open position: 2
     
    #23     Mar 8, 2007
  4. JLB123

    JLB123

    Log and Performance Chart
     
    #24     Mar 8, 2007
  5. JLB123

    JLB123

    JW Trading Journal : 2007-03-9 Result - A week of recovery

    Today the model forecasted the correct outcome of higher DIA(+0.19) than SPY(+0.04), but unfortunately the move was not big enough for the options to move to the upside and obviously time decay got its fair share of the coming weekend. Still, it's been a good week in terms of the recovery.

    Closed DIA MAR 120 Call @3.10, - 3.1%

    2007-03 month to date return 4.46%
    2007 year to date return 9.20%
    vs. 2007 year to date SPY (S&P500) return -0.59%

    Open position: 1
     
    #25     Mar 10, 2007
  6. rickf

    rickf

    Great, simple journaling! Definately helpful to those of us curious about options trading.

    One question about your strategy, which looks to be a good place to start as a beginner myself: I see you hold options for 2-3 days --- in cases of the SPY, are you buying ATM, OTM, or slightly-ITM options?

    Best of trading luck!
     
    #26     Mar 10, 2007
  7. JLB123

    JLB123


    All I know about option is buy call if I think the underlying security is going to move upwards. But you probably know that already lol. Sorry I probably can't really help you with your options trading but you can start with MacMillan's "options as a strategic investment", it's a really good option book to start with.
    The MacMillan book states that in my situation I should go for the highest delta which is deep in the money but I usually buy slightly in the money options. For some reason it just works better for me.

    And yes it's a simple P/L tracking journal...

    Best of luck to you too.
     
    #27     Mar 11, 2007
  8. gg12

    gg12

    JLB123

    Keep on the good work.
    Be transparent.

    The more you provide the more are yourself inspired.
     
    #28     Mar 13, 2007
  9. nkhoi

    nkhoi

    you still holding this one?

    DJX.X Mar 2007 120.0000 call (DJWCP.X)
    Last Trade: 1.30
    Trade Time: 3:59PM ET
    Change: 1.65 (55.93%)
    Prev Close: 2.95
    Open: 2.70
    Bid: 1.30
    Ask: 1.45

    Day's Range: 1.30 - 2.70
     
    #29     Mar 13, 2007
  10. JLB123

    JLB123


    No I sold that call on 3/9 @3.10. Please refer to the log file at the above post, thanks.
     
    #30     Mar 13, 2007