Friday, May 21, 2010

05/21 Daily Summary



















Being fully aware we’re still in the midst of the storm, I’ve initiated my JUN position Today. My key assumption and expectation is that things are about to settle down and when the dust settles I want to get out of there with the profit target. I decided against sitting out this month simply because it has been my experience that for these type of strategies you can’t really know when they’ll work and when they won’t.. You just have to trade consistently and manage whatever comes your way. So, let’s get ready for the JUN ride. May it be a good one :)

05/21 NDX Iron Butterfly – JUN/10














Started the position Today, instead of using the regular extra long, I’ve opted for having one of my contracts set up as a broken-wing butterfly, moving the long call closer to the short call, therefore getting the extra positive delta but with a bit more theta than I would have if I had with the extra long call. Will post further details on adjustment and trade plan over the weekend.