DITM Options Long(Paper Journal)

Discussion in 'Journals' started by MoneyMatthew, Oct 20, 2016.

  1. You might want to step into the arena and sling some real $, these markets will be great for trading the next month out imho.
     
    #21     Nov 1, 2016
    lawrence-lugar likes this.
  2. I've got an intraday real money futures trading system that is my bread and butter. I'm forward testing this longer term trading system publicly because it will force me to stay on top of it. I have many trades ahead of me before I put real money on the line with this system.

    Care to share any names that you are looking at for the next month or so?
     
    #22     Nov 1, 2016
  3. Time to end the bleeding on ADSK.

    ADSK
    Sell-to-Close 1 November 18th 2016 [$65.00 CALL] @ $4.20 [11/02/2016]
    Price of Underlying at time of trade=$68.09

    Profit=(-$265.00) Current PNL=+$100.00
    Return on Capital=(-38.68%)
     
    #23     Nov 2, 2016
  4. Current positions:

    TCK
    Buy-to-Open 1 November 18th 2016 [$13.00 CALL] @ $7.40 [10/20/2016]
    WDR
    Buy-to-Open 1 December 16th 2016 [$20.00 PUT] @ $4.60 [10/31/2016]

    Current P&L=+$100.00
     
    #24     Nov 2, 2016
  5. Alright, time to take profit on TCK. I will continue to hold WDR which is currently a big loser for me. I should have ditched the position when it was down 50%. As a previous poster has said, it is next to impossible to exit at breakeven with illiquid DITM options. The difficulty level is certainly higher in being profitable with DITM options. The only positive I see with this is that it allows a person with a limited bankroll to be in multiple positions/names at the same time with limited risk.

    TCK
    Sell-to-Close 1 November 18th 2016 [$13.00 CALL] @ $10.20 [11/17/2016]
    Price of Underlying at time of trade=$23.63

    Profit=+$280.00 Current PNL=+$380.00
    Return on Capital=37.84%
     
    #25     Nov 17, 2016