I do live trading on my Twitter and would like to post the real option trades that I am doing, and what my current watchlist is. Follow along on my journey to $1 million.
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That was one of the most nerve racking trading sessions, leading up to the Fed speech. I was down 11% at one point and was thinking that I'd consider myself lucky if I can get out of today with only a 5% loss. The loss of $7450 for the options is a little misleading because that is including some "insurance" gamma hedges that I expected to drop if there was a correction. I bought two, one for XLK 332DTE and one for SMH 332DTE since my portfolio is heavy in tech and semiconductors. I'd still recommend longing those sectors right now during this dip.
I am being as transparent as possible. I'm will not hide losses and only show the victories.
My plan of action was to close out some backwards options positions that were short - mid term. The thought was if the market continues down or sideways for the remainder of the week, these positions would be more backwards in 3-7 days. I raised the capital and moved it over to long term hedges on the XLK and SMH as well as dollar cost averaging into more of my long term plays - specifically ARK LEAPS.
ARK ETFs are down almost 10% this week so far. They had two hard hit days. I am doubling down and lowering my cost basis. If you are in $PLTR or $TSLA, I'd consider doing it to, although Tesla did rebound quite nicely.
I'll be updating my official watch list this weekend, but if you want to bargain hunt, now is the time. I'd recommend dollar cost averaging into your more important positions that are long term holds. Cut your short term options and roll them out when the market shows signs of life again. There are to many good value and growth stocks that are on sale right now. Think again if you believe that tech and growth is not the future.
Current Options Positions:
No need to add any to the watchlist today, although I will be hunting out bargains specifically in the renewable and clean energy sectors tomorrow.
Note: Risk (1 out of 5) is my opinion of how risky the stock and these plays are; 1 being the lowest and 5 is the highest.
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