This month's gain on the NDX is a little smaller than what I would expect in a typical month, but this makes sense following the larger than normal gain from last month. I was expecting November to close at 15900, and it closed at 16,135. I'm expecting good numbers again for December with a close around 16500. These numbers are purely based on historical averages, and do not account for any social, economic or political factors.
Tuesday, November 30, 2021
Nov 2021 Wrap-up
This was a successful month for both the NASDAQ 100 and for our Put Credit Spread strategy. The NASDAQ 100 gained about 1.6% over the month of November. Our Put Credit Strategy brought in $865 on an account valued at $20,000, coming out to a 4.3% gain for the 4 trades that reached their expiration date this month. We would have had the same 4.3% gain as long as NDX did not have a 5% decline in any of the weeks of trading.
Friday, November 26, 2021
Trade of the Week (26 Nov 2021)
Last week's trade will give me a gain of $195 on a $20K account when it expires at the end of the day today. If I had been invested in a NASDAQ ETF, I would have had a loss of about 2.26% at 11AM on Friday. We'll see what happens in the market today.
This week's trade of the week is a Put Credit Spread again. I'll sell a PUT option on NDX with a strike price of $15,350 and an expiration of 3 Dec. At the same time, I'll buy a PUT option on NDX with a strike price of $15,250 and an expiration date of 3 Dec. This trade has a maximum gain of about $940 as long as NDX closes above $15,350 on Friday, 3 Dec 2021. I made this trade in my account that has a cash balance of $20,000. I am only using half of my available cash so that I can fix the trade in the unlikely event that NDX happens to fall by 5% this week. This week's return is a lot more than a 1% gain, so it makes up for the slightly smaller gain last week.
The trade discussed above is not a recommendation but is merely an account of what I may have executed in the past.
Friday, November 19, 2021
Trade of the Week (19 Nov 2021)
Last week's trade will give me a gain of $205 on a $20K account when it expires at the end of the day today. If I had been invested in a NASDAQ ETF, I would have had a gain of about 2.2% at 11AM on Friday. We'll see what happens in the market today.
This week's trade of the week is a Put Credit Spread again. I'll sell a PUT option on NDX with a strike price of $15,750 and an expiration of 26 Nov. At the same time, I'll buy a PUT option on NDX with a strike price of $15,650 and an expiration date of 26 Nov. This trade has a maximum gain of about $195 as long as NDX closes above $15,750 on Friday, 26 Nov 2021. I made this trade in my account that has a cash balance of $20,000. I am only using half of my available cash so that I can fix the trade in the unlikely event that NDX happens to fall by 5% this week. This week's return is a little less than a 1% gain, but it sticks to the plan of selling put credit spreads that are 5% out of the money.
The trade discussed above is not a recommendation but is merely an account of what I may have executed in the past.
Friday, November 12, 2021
Trade of the Week (12 Nov 2021)
Last week's trade will give me a gain of $235 on a $20K account when it expires at the end of the day today. If I had been invested in a NASDAQ ETF, I would have had a loss of about 1.1% at 11AM on Friday. We'll see what happens in the market today, but I'm happy with my 1.1% weekly gain.
The trade discussed above is not a recommendation but is merely an account of what I may have executed in the past.
Friday, November 5, 2021
Trade of the Week (5 Nov 2021)
Last week's trade will give me a gain of $230 on a $20K account when it expires at the end of the day today. If I had been invested in a NASDAQ ETF, I would have had a gain of about 3.7% at 11AM on Friday. We'll see what happens in the market today, but I'm happy with my 1.1% weekly gain.
The trade discussed above is not a recommendation but is merely an account of what I may have executed in the past.