Today was a good and bad day to wake up In hindsight, I should have closed my MSH play and not left settlement risk on the table. The MSH opened lower today, quite a bit lower, and it cost me a bunch of the monthly profits that had been locked in. It’s a tough call when things seem to be going smoothly and you appear to be safe. Instead of closing yesterday and taking a small profit the risk was left on the table and after the open today we were settled out for $3.49 a contract on 25 contracts. That cost, a whopping $8,725 plus a slap in the face of $15.00 in commissions! Yesterday, I could have closed and locked in a small $200 or so profit… so its about a $9,000 change overnight. If the MSH had not opened so poorly we would have captured some very nice profits today and would be laughing all the way to the bank…

Overall July was a solid month and we were able to take in some gains. Currently the Cash balance in the account is at about $87,523. And no risk on the table. I’ll look around today and try to pickup some nice August positions, ideally we will be able to break the 100K mark again and get back into positive territory after the beating in June. Good luck and trade smart!

Categories: Options Trading, Papermoney