I tried pointing that out long ago, but mgmt thought I was out of line. guess not. my motto is never wrong, seldom in error. This guy is useless even if he gets it right, since there is zero accountability for anything he says.
And what exactly is the plan as soon as SPX > ???????FV ?? Blow out all the options at a loss? Buy puts? Head to the unemployment line?
Added ES 1125.25. For the first time in a while, FV is moving higher with market moving lower. That is a pattern I have come to trust. FV [not calibrated] 1347. That said, it is opts ex Friday, so it may be rough going until late in the day, 1:30 ish CT or later. The obvious support point is 1120 ish.
Ok, just wanted to make sure that you realize that your current return on margin for these positions is about -90%.
Almost every single position I have put on in this terrible selloff has shown a decent profit from the get go, only for it to go red. Other than saying that when VIX is high, we need to take profits at regular intervals based on some simple function of VIX, I have no theory as to what is correct.' The conclusion that I have come to is that, A) In quiet longer term Bull markets with a tame VIX ( < 23 ish), and long positions to take advantage of them, it pays to buy pullbacks against the short term trend. B) On the contrary, when markets speed up and go lower fast with a climbing VIX (> 23.5 ish) and you want to go long, fading and buying support (catch a falling knife) should only be done when those fast markets slow down, with a collapsing VIX, and only on crossovers from below (instead of having standing limit bids at support, have stop limit on crossovers). You can buy crossovers from below on a high VIX with a tight stop at the support. Those two simple rules would cover 90% or more of the correct experience required. Taking profits also has this asymmetry, but I am not sure what it is yet.