Back to zero - Week in review (July 17 - 21)
I lost everything.
Back to zero.
Actually, down -$1700.
Shit.
That's what happens when you don't cut your losses early. 😫
Here's a look at my trades from last week:
Opened: #
- TSLA (adjustment)
- SPY
- MSFT
- NVDA
- EEM
- GLD
- DIS x2 (iron condor)
- XLY x2 (iron condor)
| Ticker | Action (open/close) | Type | Date | Expiry | Sell Strike | Buy Strike | Premium | Qty | Fee | Net |
|---|---|---|---|---|---|---|---|---|---|---|
| TSLA | open | BPS | 2023-07-17 | 2023-07-21 | 250 | 245 | 0.25 | 1 | 2.5 | 22.5 |
| SPY | open | BPS | 2023-07-18 | 2023-07-20 | 446 | 443 | 0.22 | 1 | 2.1 | 19.9 |
| MSFT | open | BPS | 2023-07-18 | 2023-10-20 | 300 | 290 | 1.02 | 1 | 1.4 | 100.6 |
| NVDA | open | BPS | 2023-07-18 | 2023-09-15 | 370 | 365 | 0.75 | 1 | 1.41 | 73.59 |
| EEM | open | BCS | 2023-07-19 | 2023-09-15 | 43 | 45 | 0.28 | 1 | 1.41 | 26.59 |
| GLD | open | BCS | 2023-07-20 | 2023-09-15 | 190 | 192 | 0.44 | 1 | 1.4 | 42.6 |
| DIS | open | BPS | 2023-07-20 | 2023-07-21 | 86 | 85 | 0.32 | 1 | 1.4 | 30.6 |
| DIS | open | BCS | 2023-07-20 | 2023-07-21 | 89 | 90 | 0.03 | 1 | 1.4 | 1.6 |
| XLY | open | BPS | 2023-07-20 | 2023-07-21 | 175 | 174 | 0.46 | 1 | 1.4 | 44.6 |
| XLY | open | BCS | 2023-07-20 | 2023-07-21 | 179 | 180 | 0.04 | 1 | 1.4 | 2.6 |
Closed / Assigned / Exercised: #
Here's the mess of my closed trades from last week:
| Ticker | Action | Type | Date | Expiry | Sell Strike | Buy Strike | Premium | Qty | Fee | Net | Profit/Loss |
|---|---|---|---|---|---|---|---|---|---|---|---|
| TGT | open | BPS | 2023-05-22 | 2023-07-21 | 140 | 135 | 0.75 | 2 | 2.56 | 147.44 | -814.67 |
| TGT | close | BPS | 2023-07-19 | 2023-07-21 | 135 | 140 | -4.8 | 2 | 2.11 | -962.11 | |
| ADBE | open | BCS | 2023-05-24 | 2023-07-21 | 420 | 425 | 0.78 | 2 | 1.13 | 154.87 | -845.130000000005 |
| ADBE | assigned | BCS | 2023-07-21 | 2023-07-21 | 420 | 0 | 420 | 2 | 0 | 84000 | |
| ADBE | exercised | BCS | 2023-07-21 | 2023-07-21 | 0 | 425 | -425 | 2 | 0 | -85000 | |
| TSLA | open | BCS | 2023-06-06 | 2023-07-21 | 250 | 255 | 0.95 | 1 | 1.4 | 93.6 | -357.81 |
| TSLA | close | BCS | 2023-07-21 | 2023-07-21 | 255 | 250 | -4.5 | 1 | 1.41 | -451.41 | |
| NFLX | open | BCS | 2023-06-07 | 2023-07-21 | 480 | 485 | 0.62 | 1 | 1.41 | 60.59 | -65.81 |
| NFLX | close | BCS | 2023-07-18 | 2023-07-21 | 485 | 480 | -1.25 | 1 | 1.4 | -126.4 | |
| VMW | open | BCS | 2023-06-08 | 2023-07-21 | 145 | 150 | 1.2 | 1 | 0.6 | 119.4 | -380.6 |
| VMW | assigned | BCS | 2023-07-21 | 2023-07-21 | 145 | 0 | 145 | 1 | 0 | 14500 | |
| VMW | exercised | BCS | 2023-07-21 | 2023-07-21 | 0 | 150 | -150 | 1 | 0 | -15000 | |
| MSFT | open | BPS | 2023-06-28 | 2023-09-15 | 295 | 265 | 2.2 | 1 | 1.4 | 218.6 | 106.5 |
| MSFT | close | BPS | 2023-07-18 | 2023-09-15 | 265 | 295 | -1.1 | 1 | 2.1 | -112.1 | |
| BAX | open | BCS | 2023-06-30 | 2023-08-18 | 47.5 | 50 | 0.6 | 1 | 0.6 | 59.4 | -87.2 |
| BAX | close | BCS | 2023-07-21 | 2023-08-18 | 50 | 47.5 | -1.46 | 1 | 0.6 | -146.6 | |
| TGT | open | BCS | 2023-07-03 | 2023-07-21 | 145 | 150 | 0.15 | 2 | 2.8 | 27.2 | 27.2 |
| TGT | expired | BCS | 2023-07-21 | 2023-07-21 | 150 | 145 | 0 | 2 | 0 | ||
| MSFT | open | BPS | 2023-07-05 | 2023-09-15 | 300 | 290 | 1.1 | 1 | 2.1 | 107.9 | 56.5 |
| MSFT | close | BPS | 2023-07-18 | 2023-09-15 | 290 | 300 | -0.5 | 1 | 1.4 | -51.4 | |
| MSFT | open | BPS | 2023-07-11 | 2023-10-20 | 285 | 275 | 1 | 1 | 1.4 | 98.6 | 47.2 |
| MSFT | close | BPS | 2023-07-18 | 2023-10-20 | 275 | 285 | -0.5 | 1 | 1.4 | -51.4 | |
| BAC | open | BPS | 2023-07-14 | 2023-07-14 | 29.5 | 29 | 0.24 | 1 | 2.1 | 21.9 | 67.8499999999999 |
| BAC | assigned | put | 2023-07-14 | 2023-07-14 | - | 29.5 | -29.5 | 1 | 0 | -2950 | |
| BAC | sell | call | 2023-07-17 | 2023-07-21 | 29.5 | - | 0.47 | 1 | 1.05 | 45.95 | |
| BAC | assigned | call | 2023-07-21 | 2023-07-21 | 29.5 | - | 29.5 | 1 | 0 | 2950 | |
| TSLA | open | BPS | 2023-07-17 | 2023-07-21 | 250 | 245 | 0.25 | 1 | 2.5 | 22.5 | 22.5 |
| TSLA | expired | BPS | 2023-07-21 | 2023-07-21 | 245 | 250 | 0 | 1 | 0 | 0 | |
| SPY | open | BPS | 2023-07-18 | 2023-07-20 | 446 | 443 | 0.22 | 1 | 2.1 | 19.9 | 19.9 |
| SPY | expired | BPS | 2023-07-20 | 2023-07-20 | 443 | 446 | 0 | 1 | 0 | 0 | |
| DIS | open | BPS | 2023-07-20 | 2023-07-21 | 86 | 85 | 0.32 | 1 | 1.4 | 30.6 | 30.6 |
| DIS | expired | BPS | 2023-07-21 | 2023-07-21 | 85 | 86 | 0 | 1 | 0 | 0 | |
| DIS | open | BCS | 2023-07-20 | 2023-07-21 | 89 | 90 | 0.03 | 1 | 1.4 | 1.6 | 1.6 |
| DIS | expired | BCS | 2023-07-21 | 2023-07-21 | 90 | 89 | 0 | 1 | 0 | 0 | |
| XLY | open | BPS | 2023-07-20 | 2023-07-21 | 175 | 174 | 0.46 | 1 | 1.4 | 44.6 | -55.4000000000015 |
| XLY | assigned | BPS | 2023-07-21 | 2023-07-21 | 0 | 175 | -175 | 1 | 0 | -17500 | |
| XLY | exercised | BPS | 2023-07-21 | 2023-07-21 | 174 | 0 | 174 | 1 | 0 | 17400 | |
| XLY | open | BCS | 2023-07-20 | 2023-07-21 | 179 | 180 | 0.04 | 1 | 1.4 | 2.6 | 2.6 |
| XLY | expired | BCS | 2023-07-21 | 2023-07-21 | 180 | 179 | 0 | 1 | 0 | 0 |
- Closed Net Profits/Loss: -$2224.17 😩
Notes and Lessons #
Selling credit spreads is supposed to be a safe and easy way to make some extra income.
Well, I proved those suckers wrong. 🥲
Guess it's time to go back to the drawing board.
I was doing well the first 1 - 2 months of trading, before things started getting out of control. Here are some things I noticed:
Less trades #
I think I need to make less trades. For example, in April -- when I was profitable -- I only closed 10 trades the entire month. I closed 14 trades just this past week.
Maybe this means I need to more strict on the trades I enter.
Perhaps, I need to make some rule for myself where I can only hold like 5 or 6 different positions at the same time.
Of course, rules don't mean anything if you don't stick to them. Like cutting losses:
Cutting losses #
All of my recent big losses (ADBE, TGT, GIS, VMW) could've been avoided if I had stuck to my exit / cut loss rules:
- Exit when at a 200% loss (of collected premium)
- Exit before earnings
- Exit when candlestick is completely outside support/resistance level
I still would've loss money, but nothing like what just happened.
I got too emotional about some smaller losses earlier which led me to chasing/risking more on these trades.
Need to treat each position individually. Need to be less emotional, and become a fucking robot.
Multiple Strategies #
Another reason for entering so many trades is I started experimenting with many strategies.
Sometimes, I can't find anything that matches my original strategy. So, I start getting a itchy trigger finger, and find some some random strategy that I can trade NOW.
There's nothing wrong with having multiple strategies, but probably should just stick to two or three.