01/15 Daily Summary

Today was an active day in the market. I didn't do much in my current positions, and the last JAN positions expired in the money. Based on Today's price movement I entered a NDX Directional Butterfly, let's see how it goes.

Position's details and price action chart:
01/15 MNX Iron Butterfly
01/15 OEX Weekly Iron Condor
RUT Iron Condor
01/15 NDX Directional Butterfly

01/15 MNX Iron Butterfly

Despite a big sell off, the position is actually showing a small layer of profits. Gotta love those Iron Butterflies! :)

01/15 OEX Weekly Iron Condor

The position expired profitable, brought 9% ROI in one week. Really good deal!

RUT Iron Condor

I never enjoy having a large move right after placing a position. Day 2 and we had a big down-day, it seems the damage wasn't that big, looking forward to the weekend of time decay.

01/15 NDX Directional Butterfly

We had another down signal based on the 5-day volatility chart, so here I go again with a directional NDX butterfly. One thing I will have to do is re-test this position with a wider wingspan.

The reason behind testing a wider butterfly is that by having a short wingspan I allocate less money, however, slippage during execution can eat away most of the profit and make the loss even worse. If you think about it, say it costs me $40 bucks to get in and out (.20c slippage each time), that's almost 5% on a trade with $845 allocated.