1 - Options Trades as Long Term Investments

Martin Mansour Rank: 46 Followers: 18 Votes: 0 Years Member: 11 Last Update: 24 March 2017, 20:34 Categories: Trade Reporting
Market Breadth Analysis

Multi-Part Options Trades. My personal positions & investments.
Get a Price Discount & Reduce Risk -- by combining options and selling some premium.
Options Income Trades - Short Strangles on SPX (/ES futures) when volatility spikes; Lately have been selling premium in the Bond Futures (ZB), Gold (GC) & Oil (CL) because they're less correlated to stocks.
Market Breadth: McClellan Oscillator, Summation Index; $VIX , Put-Call Ratio, Advance-Decline, $TICK, $TRIN.
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Market Notes: 3/7/2017: Portfolio Hedge: http://postmyimage.com/img2/158_Risk_Twist_June_30_2017_expiry.png
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** FUTURES -- Bonds ZB: short puts; Oil CL: short strangles; S&Ps: ES short strangles w/ delta hedging to the upside.
**Recent Trades: 3/22: Sold to close Yen futures; 3/7: Portfolio Hedge (see above); 2/28: DVA - sold put, bought call spd; SHLD: sold call; JCP: sold call; 2/16: Buying BX shares; 2/15: sold puts in SHOP, O, BX; 2/10: Sold AAPL strangle; Bought /6J (Japanese Yen) @ .0088, & /ZB (Bonds) sold an Apr 147 put; Closed ZB (bonds) short puts; 2/9: Sold XLU Put, Sold BX Put; Bought O shares; 2/6, 2/7, 2/8: Sold /CL (crude Oil) April 48, 49 & 50 Puts; 2/8 BOT NFLX Feb 141-145 Call Spd; Sold FB puts; 2/6: Sold KMI Puts; 2/6: Sold ATVI Puts; 2/3: Closed Oil CL strangle & short put; DIA long 199-197 put spd; SPY: long 228/223/215 BW Butterfly; 2/02: FB: Sold Feb 129-133 Strangle; 2/1: (overnight) sold JP Yen to close; Bought SRS put; 1/27: Bought BX Calls; Sold KMI puts; 1/26: Sold WDC, FB & ULTA puts; Closed ULTA combo; 1/24: closed JCP short & ADBE long; sold Hain, Bofi & /ZB puts; 1/23: BTC: Feb ES Strangle; Sold to close /6J (Yen); 1/20: Bought TDG stock; Sold to Open BX Feb 28P;1/19: Bought /6J (Japanese Yen);1/18: Sold SHOP Apr 50 Put; 1/13: Bought RUT 1340 Put calendar spd; Sold CL (crude oil) April 50

Less

! *$SPX - 1 hour, Correlations: Stocks, Bonds, Yen, Dollar, Gold, Oil. Elder Impulse

Aug-Sep 2016: Selling Option Premium in Futures: Gold (/GC); Bonds (/ZB); Crude Oil (/CL); S&P's (/ES).
Selling Strangles, Puts & Calls -- Managing the Risk with Delta Hedging.

1/18-19 (overnight) Bought Yen; Holding long /CL (crude oil - short puts)
1/23-24 - closed yen, bought back on the dip @ .8804
2/01 (overnight) sold yen @ .89; holding /CL short put & short strangle; /ZB short strangle; /ES short strangles
2/6, 2/7, 2/8: Sold /CL (crude Oil) April 48, 49 & 50 Puts
2/10: Long Yen, Long Bonds, Exited CL (oil) short puts
2/24: exited Yen, bought to close 1/2 of Bonds' short puts (ZB); 2/27: exited Bonds.


**December 2016: Income Trades - short premium: short Puts in Bonds (bullish); Neutral/Bullish in Oil; Neutral/Bearish in /ES (S&P's)
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Sep: Have been Portfolio Hedging/enhancing with SPX (/ES) short calls

Nov 11: Big SECTOR ROTATION since the election: Dollar is Strong. Bonds Weak, Gold Weak, Oil Weak.

! *$SPX - 10 minute - correlations

! *$VVIX - Daily; 'VIX of the VIX' -- implied volatility of VIX Options

$VIX measures the implied volatility of options on the SPX index

$VVIX (this chart) measures the implied volatility of options on the VIX index - (these are priced off /VX futures).
When this is high people are buying protection with VIX options.

11/18: When Volatility is LOW, I'm buying SPX Calendar Spreads (Delta .40, short 30 day/long 60 day)
exit @ +10%.

! - $ .NYAD - NYSE Advance-Decline Line 'Slo Sto 60' signal; McClellan Oscillator

**Slow Stocastic, 60 period: this is a great signal for when to lower risk or add risk in a portfolio. **
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3/7: Put this portfolio hedge on with puts: http://postmyimage.com/img2/158_Risk_Twist_June_30_2017_expiry.png
11/22: Buy Signal
11/21: Getting close to a Buy Signal (pull some portfolio hedges off)
10/27: Sell Signal - I sold some SPX futures Calls today.
10/20 Buy Signal on the Slo Sto 60. MACD is still under 0.
10/14: Sell Signal;
10/11/16: breadth is weakening; We're getting close to a sell/hedge signal

! - $NYSI - .Summation Index: 'Hedge core portfolio when breadth gets weak'

Nov 21st - Breadth is Strengthening
Oct 28th - HEDGE signal fired
Oct 26th - Breadth is Weakening.
Oct 27th - sold some SPX calls

'The Summation Index is a breadth indicator based on Net Advances (advancing issues less declining issues).
When market breadth turns down (declining stocks are increasing relative to advancing stocks), it's a good time to lower risk.
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http://tinyurl.com/hz4fbjy
'Everyone Is A Closet Technician' by Josh Brown: nice editorial on TA.

! - $NYSI - Hedge Timing: NYSE Summation Index, McClellan Osc'l below

Measures market breadth: Watch Zero Line for hedges.
Hedge portfolio when Summation Index is below Zero
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http://stockcharts.com/school/doku.php?id=chart_school:technical_indicators:mcclellan_summation
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'The Summation Index is a breadth indicator based on Net Advances (advancing issues less declining issues). The Summation Index is simply a running total of the McClellan Oscillator values. Even though it is called a Summation Index, the indicator is really an oscillator that fluctuates above and below the zero line.'
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! - $SPX - 7 years, Weekly- BreakPointTrades.com

July/August 2016: We have a Monthly volatility squeeze breaking to the upside:
http://tinyurl.com/juu9wo3

! - $SPX - Daily , time & price Symmetry

3/7: Portfolio Hedge: copy and paste this link:
http://postmyimage.com/img2/158_Risk_Twist_June_30_2017_expiry.png

! - $SPXA50R - Weekly

! - ..NDX - daily

2/25: bought Nasdaq 100 futures

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