It's Tuesday and the markets are pretty flat in the U.S. However, overnight there was some pretty big moves going on within the forex markets and I took some risk as opportunity presented itself. It got me back to my profit % target that I had from last week and then right after the move was over my dual triangular hedges were put right back on.
Feb 5, 2016
Well the market is down big....huge. After failing to bounce. Obviously, my arbitrage spx/spy options style is 100% neutral until the market hits a max profit on one of these positions. So basically the short puts are getting close, but not there yet.
at 3:11 PM
Feb 3, 2016
Feb 1, 2016
Well it was an exciting day in forex and a so-so day in options as the U.S. market just kind of drifted higher (putting the spx debit spreads near max profit (80%). The biggest news is my final big aggressive and highly risky trade in the gbp/usd and nzd/usd that was pure directional to try and get my balance back to a point that allows for more complex strategies was taken off for about $10 of profit.
at 3:04 PM
Jan 30, 2016
Well, I was out on Friday, but it was a fun time on my mobile trading thing for Oanda. I ended up closing the cad/jpy hedge with a $5 profit on 0.01 for each leg. After the Bank of Japan decided to go negative on interest rates the usd/jpy flew up 200 pips and that is where I took the profits. I then reversed the pair and now it's just close to break even, but the key is that it does move enough to make profits and only a few hundred pips is needed.
at 5:05 PM
Jan 28, 2016
Jan 27, 2016
Traded through the FOMC number today. Nobody expected rates to change and they didn't. It will be another 6 weeks for the next rate announcement. Markets didn't move much going into the data release. Afterwards the market sold off all of its gains and basically all the option spreads I had on for the pair strategy didn't move much.
at 3:10 PM
Jan 26, 2016
Hey traders. It's Tuesday January 26, 2016 and later this week there is information coming out of the Fed that will likely cause the markets to break out of their dullness that they have been in. As for my forex position I got a little weighted on one of my legs within the triangular hedge between the eur/usd and aud/usd.
at 1:28 PM
Jan 22, 2016
Well it only took one week to figure out if this is worth doing or not. To me, the strategy that I am testing has no benefit to using weekly options over monthly options. The weekly's have more price volatility, which means more fill risk.
at 4:48 PM
Jan 20, 2016
Man, I know it's late today, but it was a great day with a lot going on. On the spy/spx pair options trading strategy, I had the put debit spreads in the SPX index options fill as the market crashed on the opening bell. I was then able to fill the opposing side for a tad better price as the market rallied back up a bit. This created about a $150 profit as I am trading minimum lot size for the strategy (1 spx to 5 spy).
at 11:47 PM