Microscopic option selling

Discussion in 'Journals' started by deltazero, Dec 1, 2013.

  1. Account value $2873
     
    #21     Dec 23, 2013
  2. Account value $2843
     
    #22     Dec 24, 2013
  3. newwurldmn

    newwurldmn

    What's your current position?

    Why are you losing money. I thought you were short vol.
     
    #23     Dec 24, 2013
  4. Theoretically, I'm long vol. In reality I think it's not so simple, as long term options tend to get affected by vol change less than short term options.
     
    #24     Dec 24, 2013
  5. Account value $2913
     
    #25     Dec 26, 2013
  6. Account value $2769
     
    #26     Dec 27, 2013
  7. Why didn't you just dynamically hedge your delta instead of putting on a calendar spread? The vega seems to be killing you.
     
    #27     Dec 28, 2013
  8. Commissions + big bid/ask spread for long term options. Vix is as low as it gets, so I hope this drop is temporary. Although, I have to admit - 5% account fall in one day is more than I expected.
     
    #28     Dec 29, 2013
  9. I rolled my Feb 24 Put to Feb 27 Put for a credit of $110.
    I will post account value later.
     
    #29     Dec 30, 2013
  10. Account value $2801
     
    #30     Dec 30, 2013