The market is down over 2% today and, as usual, the herd thinks that we premium sellers got crushed. Sweet Bobby is still in business and I'm up $204.00 on the day. The reports of my demise are greatly exaggerated, as is fear in life and in the markets. How are my fellow options sellers doing? I'm up 11% for the year and conservative projections place me at around 54% for the year. How does Sweet Bobby do it?
Flat for the day -- I have no idea how. It's been a blur since 7pm last night, but having gone from down $2k last night, to revenue-flat right now...... you have to count that a pretty good day. Risk was supposed to be halved today -- I'm not happy to say that was SO missed -- I had 2630s last night, 2600s this morning, 2590s this afternoon, that had to be addressed. That's the bad news. The *good* news is, THERE WAS A MARKET. (This is not something so easy to say for the last 3 years.) So, I'm heavy-on, on Monday (2645 on top, 2560 on bottom), and with a bump, Wednesday at 2680 on top, 2565 on bottom. Because the portfolio is front-loaded, timewise, it means 1) gamma will be playing hell with me ("Boo-oooo!"), but 2) there is enough vol about that the entire remainder of the calendar is available for escape ("Yayyy-yyyy!"). After beating the S&P AND the NDX for the past 3 (shocking) years*, I am down, for sure, for sure. But with the escapes afforded now, WOW. It's a different world. (*Longer than that, but there is an OPM consideration now -- a slightly different deal.)
I made 100% today, loosely rounded off. or $10,000, loosely rounded off. in my paper trading account. How does Lawrence Lugar do it? 2018 ET. I would eat a whole Pecan Pie, topped with a whole can of whip cream...if it weren't so high in saturated fat and sugar. If you do that everyday, you are eating your way to a heart attack and diabetes really quickly.
Since you proclaimed that you blew up and busted out or that you were down even, your subsequent posts have as much reliability as a broken watch with a pile of cow shit dumped on it.
I posted this under another thread, but I'm doing fine. Account is down today, but less than 0.25% and I'm around 1.0 leverage. So I'm fully in the market, just not all long S&P correlated stuff (short calls, long gold). The premium sellers who just write low-delta calls in this environment are doing great. I like the VIX around these levels and hope it stays there.
That was an excellent experiment in illustrating absurdity by being absurd. You should recognize my genius! But what do I care about your thoughts of me? I have identified an edge in the markets and I am very happy to take advantage of the edge.