It was a great month as my profit continues to grind slowly upward along with the market. My trades continue to be light as I don't see a lot of opportunity and at the same time, I'm cautious as we're at market high. Today, my "net liq" value hits an all time high in my portfolio. Net liq is short for Net Liquidation value which is defined as the total cash value + commodities option value + stock value + securities option value + etc in your portfolio. With that in mind, I took the opportunity to protect my profit by reducing my exposure by taking profit on a number of underlying. Starting with my oil future contracts, I closed out the front month and next month's contracts with a nice profit. As you can see, I kept on rolling my put contracts upward to get to delta neutral. Every time I rolled up the contracts, I'm taking profit as well in this particular situation. Eventually (today), I closed out my straddles and strangles for either a break even or a small profit. I'm slightly delta short oil futures at the moment with a tight strangle. I'm long XOM which helps to counter the short in oil future a tiny bit. On my securities underlying, here are my outstanding positions. As I commented yesterday that I would look to add positions in Amazon after the earning shortfall overnight. An underlying equity I've been trading forever. My first trade after getting out of bed this morning was two long contracts in Amazon (selling into strength). Then I added a short call contract in Amazon as I drove my daughter to school. In the early morning, I rolled the short call contact down to get more premium. I wanted to get out of PCLN today but did not get a chance as volatility may creep up in the coming days due to upcoming earning. With GOOGL, I moved my long position up a bit to collect more premium or rather get closer to delta neutral. I got back into VXX as SPY went up (selling into strength). My overall position continues to be slightly delta short as beta weighted against the SPY. As you can see from my trading style, I like to take profit often. Small profit add up to big profit over time.
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March 2017
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