My Life My Trade

BOT the initial batch here for $4.00.

SOLD PALM Jul $16 puts @ $1.20

MANAGED Positions in GS Jul $145 puts to get an average price of $3.62

MANAGED Positions in GDX Jul $39 puts to get an average price of $1.08

SOLD RIMM Jul $70 puts @ $2.73

MANAGED Positions in QID Jul $32 calls to get an average price of  $1.23

SOLD BIDU Jul $270 puts @ $3.30

BOT USO Jul $38 puts @ $1.20

BOT OIH Jul $100 puts @ $3.40

MANAGED positions in TZA Jul $22.5 calls to get an average price of $1.57

MANAGED positions in ICE Jul $110 puts to get an average price of $3.00

BOT IPI Jul $29 puts @ $1.70

DISCLAIMER: Nothing contained anywhere on this site constitutes any investing advice or recommendation. Any purchases or sales of securities are solely at the discretion of the reader.

$150 is a major resistance on 1 year chart. It got rejected at $150 last week. I entered around $148. Good enough for me. If it goes up too much, I will average down.

DISCLAIMER: Nothing contained anywhere on this site constitutes any investing advice or recommendation. Any purchases or sales of securities are solely at the discretion of the reader.

Stopped out – no profit/no loss after comissions.

UPDATE Jun 25 2PM PT: Cannot over-emphasize the importance of using stops – This security ended the day at $4.82. In absence of a stop loss, it becomes very difficult to sell and it is easy to just end up selling it at the worst possible point. I am glad to have gotten out for no profit. I  could have easily ended the day holding a position that is 10% in loss.

DISCLAIMER: Nothing contained anywhere on this site constitutes any investing advice or recommendation. Any purchases or sales of securities are solely at the discretion of the reader.

BAD BAD BAD trade – I was trying to get fill for FAS puts right before close. I resisted buying FAZ AH, but eventually succumbed. I hope I don’t have to pay the price for this tomorrow. This is a smallish position – so, I should be okay.

It has been a long time since I forced a trade like this. Whenever I did in the past, I paid the price – almost always. I feel bad about breaking my rules on this one.

BOT @ $1.00 – 15% profit

UPDATE 2:45PM PT: Boy I am going to stop trading FAS and FAZ. I never get this one right. The other day I sold for break-even and the next two days this thing put on 10%. Today I was playing downside, I get out and this thing goes on to lose another buck. I am staying the hell out of this.

Currency action not looking good. Opened this trade yesterday. Out for a $0.03 gain, which covers the commissions as well.

Capital preservation is the name of the game.

Yes, it might go higher. But at this point my premise for entering the trade has been violated – currency action (See the 8:00AM ET update in this post) suggesting very limited to no upside to equities. It is better to stay out and preserve capital if you want to survive in this game.

I also have URE that I am holding onto. Essentially cutting down my long exposure at this point.

EDIT 8:38AM ET: Well, the job report is being greeted positively by the market and FAS is up to $8.75 as I type, up 9 cents from where I sold it. I am not bothered by this because I did not lose money on this trade. Essentially, my premise to enter the trade got violated and I got out – that is how it should be if you want to survive in this game

Warren Buffet says that there are two most basic rules of investing

• Do not lose money
• Do not forget the first rule

A question that might occur in your minds is that why did I not close out the URE trade as well OR if I just wanted to cut my exposure into half, I could have sold half of my URE and half of my FAS position. Well, the answer to that is that for URE trade, I had other technical reasons besides just currency action. For FAS trade, it was purely based on currency action.

Again, if something doesn’t seem right AND there is a doubt, stay out OR if you are already in, get out with minimal damage.

Position size not specified

Stop contingent on $RIFIN < 609

Closed all my short positions that I opened yesterday:

• SKF Jul 40 calls closed for 5.90 (bought for 4.50; 30% profit)
• SRS Jul 19 calls closed for 2.95 (bought for 2.30; 28% profit)
• MSFT Jul 24 puts closed for 1.27 (bought for 0.94; 35% profit)
• DUG Jul 17 calls closed for 1.60 (bought for 1.00; 60% profit)
• TSL Jul 25 puts closed for 3.50 (bought for 2.55; 37% profit)

Still holding onto the GOOG butterfly

During the day, I went long NQ at 1441.5 and got stopped out at 1440.5. And 5 minutes after that NQ ripped to the upside.. made me very mad at the Market Makers..  I decided to walk away from my computer at that point because I realized that I might try to force some stupid trades.