Managed to get a trade finally. Wed morning the F smashed up to pivot level R2 and just below it around 4470 I placed a combo-'risk reversal' selling 4600 calls and buying 4250 puts for credit of 4. Closed out for credit 6 this morning. Had I been around to leg in half and half I could have got a better entry for as much as 15, so averaging into the trade at >10. I was not around.
Prices per lot.10= £100.
As long as I can capture one or two of these each week until expiry week( and might have the chance to do a combo even then) I am confident I can remain profitable.
I have now moved into the black for my trading year to date, as March was such a horrible month as the banks took our money refused to lend it out and got busy buying the stockmarket and commodities.
I don't care if this rally is phoney or not, but every instinct, and my own empirical evidence suggests we are only halfway up the Swannee. I trade intra- day, and intra-week, overall direction has some value, and while I rant about the real economy, the game we play in the markets is another world, a wiggly line on a chart.
Expiry next week, so I was keen to clear the decks today and even indulge myself with a trip to the cinema to watch the latest Terminator movie, which may be as lame as Angels and Demons, though it would be hard to beat that piece of garbage, in my opinion.
Thursday, 11 June 2009
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