Trade of the Week (14 Jan 2022)

Last week's trade will give me a gain of $525(2.6%) 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 0.5% at 11AM on Friday.

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 $14,700 and an expiration of 21 Jan 2022.  At the same time, I'll buy a PUT option on NDX with a strike price of $14,600 and an expiration date of 21 Jan. This trade has a maximum gain of about $750 as long as NDX closes above $14,700 on Thursday, 20 Jan 2022.  I'm going to make sure to close this trade before the market closes on Thursday because this option expires when the market opens on Friday, 21 Jan 2022. 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.

The trade discussed above is not a recommendation but is merely an account of what I may have executed in the past.

Trade of the Week (07 Jan 2022)

Last week's trade can still give me a gain of $275 (1.3%) on a $20K account when it expires at the end of the day today.  Right now, I can't close the trade for a profit, so I'll have to keep it open until a little later in the day. If I had been invested in a NASDAQ ETF, I would have had a loss of about 4.7% at 11AM on Friday.  

Right now, I can make a few trading plans, but I don't actually want to enter a trade until I can close last week's trade or until NDX moves higher.  The plans that I'm looking at are either selling a Put Credit Spread where I sell 1 NDX Put at 15,000 and buy 1 NDX Put at 14,900; or a Put Credit Spread where I sell 2 NDX Puts at 15,000 and buy 2 NDX Puts at 14,925.  I would make 1 of these trades for a profit before the end of the day.   Depending on how close the market is to the price of the sold Put last week, I may close out last weeks trade at the same time or just plan to let it expire worthless.

UPDATE 1 (1:38PM):

I'm looking to close last week's trade while opening this week's trade of buying 1 NDX Put at 15,000 and buying 1 NDX Put at 14,900.  This trade combination should bring in about $525 this week.  Closing last week's trade will cost about $400, and opening this new trade will give me a credit of about $925; this combination comes out to a net gain of $525.

The trade discussed above is not a recommendation but is merely an account of what I may have executed in the past.

Dec 2021 Monthly Wrap-up

This was a successful month for both the NASDAQ 100 and for our Put Credit Spread strategy.  The NASDAQ 100 gained about 1.1% over the month of December.  Our Put Credit Strategy brought in $4,140 on an account valued at $20,000, coming out to a 20% gain for the 5 trades that reached their expiration date this month.  We would have had this gain as long as NDX did not have a 5% decline in any of the weeks of trading. 

This month the NDX had a gain that was slightly smaller than the 5-year average.  I was expecting December to close at 16,500, and it closed at 16,302. I'm expecting January to have a small gain again with a close around 16,500. On the longer time frame, I'm looking for a 7% loss over the next few months but I have no clue when or if it will show up.  These numbers are purely based on historical averages, and do not account for any social, economic or political factors.

Trade of the Week (31 Dec 2021)

Last week's trade will give me a gain of $275 (1.3%) 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 0.5% at 11AM on Friday.

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 $15,500 and an expiration of 7 Jan 2022.  At the same time, I'll buy a PUT option on NDX with a strike price of $15,400 and an expiration date of 7 Jan. This trade has a maximum gain of about $215 as long as NDX closes above $15,400 on Friday, 7 Jan 2022. 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.

The trade discussed above is not a recommendation but is merely an account of what I may have executed in the past.

Trade of the Week (23 Dec 2021)

Last week's trade will give me a gain of $875 (4.3%) 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 4.3% at 11AM on Friday.

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 $15,450 and an expiration of 31 Dec.  At the same time, I'll buy a PUT option on NDX with a strike price of $15,350 and an expiration date of 31 Dec. This trade has a maximum gain of about $275 as long as NDX closes above $15,350 on Friday, 31 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.

The trade discussed above is not a recommendation but is merely an account of what I may have executed in the past.

Trade of the Week (17 Dec 2021)

Last week's trade will give me a gain of $640 (3.2%) 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 2.8% at 11AM on Friday.

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 $15,100 and an expiration of 23 Dec. At the same time, I'll buy a PUT option on NDX with a strike price of $15,000 and an expiration date of 23 Dec. This trade has a maximum gain of about $875 as long as NDX closes above $15,100 on Thursday, 23 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.

The trade discussed above is not a recommendation but is merely an account of what I may have executed in the past.

Trade of the Week (10 Dec 2021)

Last week's trade will give me a gain of $1,446 (7.2%) 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% at 11AM on Friday.

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 17 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 17 Dec. This trade has a maximum gain of about $640 as long as NDX closes above $15,350 on Friday, 17 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.

The trade discussed above is not a recommendation but is merely an account of what I may have executed in the past.

Trade of the Week (3 Dec 2021)

Last week's trade will give me a gain of $904 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% at close on Friday.

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 $15,000 and an expiration of 10 Dec. At the same time, I'll buy a PUT option on NDX with a strike price of $14,900 and an expiration date of 10 Dec. This trade has a maximum gain of about $1,446 as long as NDX closes above $15,000 on Friday, 10 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 the 1% gain that I'm aiming for.

The trade discussed above is not a recommendation but is merely an account of what I may have executed in the past.

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. 

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.

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.

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.

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.

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 $15,400 and an expiration of 19 Nov. At the same time, I'll buy a PUT option on NDX with a strike price of $15,300 and an expiration date of 19 Nov. This trade has a maximum gain of about $205 as long as NDX closes above $15,400 on Thursday, 18 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 trade actually has a better chance of falling by 5% than prior trades because the market has moved up so far and so quickly over the past month, but this is a risk that I'm willing to accept.

The trade discussed above is not a recommendation but is merely an account of what I may have executed in the past.

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.

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 $15,600 and an expiration of 12 Nov. At the same time, I'll buy a PUT option on NDX with a strike price of $15,500 and an expiration date of 12 Nov. This trade has a maximum gain of about $235 as long as NDX closes above $15,600 on Friday, 12 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 trade actually has a better chance of falling by 5% than prior trades because the market has moved up so far and so quickly over the past month, but this is a risk that I'm willing to accept.

The trade discussed above is not a recommendation but is merely an account of what I may have executed in the past.