Added another position in GLD to create Iron Condor

The 97 support line looks like it will hold as GLD has had a nice rally off of it. I decided to add another trade in, and if GLD rallies strong and breaks 100 I will get out of my earlier 101/102 Bear calls spread. Otherwise I will see if GLD can finish in between my two trades.

Opened:

Oct 09 96/95 Bull Put Spread for a ROI of 15%

RIMM trade

I closed my RIMM trade this morning with very nice profits.

I paid $2.72 for the 90 Call and $9.45 for the 90 Put.
Sold the 90 Call for .10 and the 90 Put for $19.80 this morning.

This ended up being a + 64% gain for $2,380 profit.

RIMM Straddle trade

For my aggressive account I decided to do a RIMM straddle trade with it's earnings annoucement this afternoon. This stock is getting a lot of attention and I think we will get a nice move either way depeneding on the announcement.

RIMM Oct 09  90 Purchase CALL/PUT Straddle

Watching market

If we break through the 105 level, which I think we will, I will be looking to close out of my SPY bear call spread early and take profits. I will then look to open a bull put spread where ever we bounce.

I will be using a similar strategy with the GLD trade.

GLD Oct trade

Placed a trade on GLD for Oct 09 expiration. The 100 resistance looks pretty strong, so I have placed the

GLD  109/110 Bear Call Spread    with a ROI of 25%


If it breaks the 100 resistance level than I will cover the lower leg position and hold the call in hopes that breaking the 100 level starts a rally.

First Oct Spread Trade

Placed my first spread trade for Oct 09 expiration. I feel like the market is due for a little pull back off some profit taking. I'm loving the SPY chart right now as it looks like it has hit its peak and starting a nice little pull back.

SPY 109/110 Bear Call Spread  with ROI of 28%

The next two lower resistance levels are about 105 and 101. I will be watching this trade closely. If we bounce at 105 and start back up I will probably exit this position quickly as I'm hoping we fall through that support line.
If we break through 105 and hit the 101 support line quickly ( within two weeks ) I will be looking at selling out of this position for a smaller gain and possibly opening a Bull Put Spread if the market looks like it is ready to rally back.

Sept 2009 Performance

Options Experation is today and all three of my credit spread trades expired successfully.

GOOG 430/420 Bull Put Spread   +17%
SPY 95/94 Bull Put Spread   +12%
GLD  96/95 Bull Put Spread  +15%

Conservative trading account made $900  for the month of Sept 2009 for a +8.5% gain.
 This puts the conservative trading account at a little over $12,000 now. 

New Aggressive Account

I've decided to open another virtual options account where I my trading style will be a little more aggressive.
Most of my trades will be straight call and put options. Currently my strategy for this account will be to look for stocks that are in squeeze positions and make a trade play on the break out.

I will start this account with $10,000 as well.

My first trade with this account is:

POT October 100 call

Potash just broke out of a squeeze play and I think it will break through 100 easily.

I will post my September spread results for my other account either tomorrow or monday after options have successfully expired.

Sept trade

Opened another Sept trade with GLD. I feel that Gold prices will continue to be strong for the next couple weeks.

GLD 95/96 bull put spread ROI 15%

Sept trades

I have entered two new trades for Sept.

SPY 94/95 bull put spread for 12% ROI and
GOOG 420/430 bull put spread for 17% ROI

both trades are around 75% probability.

AUG Update

Wow, been a while since I updated. I was on vacation for 3 weeks in August so I didn't get a chance to update on my trades. Aug ended up being my worst trading month so far as the FSLR and MA trades killed me. I made the mistake of entering the MA trade without noticing that they were going to be releasing earnings a week later. When they blew out earnings the stock jumped almost 10% and it immediately put my trade in jeopardy. FSLR just completely tanked. Those two trades wiped away all the profits from my other trades for the month and I ended up down about 2% of a loss of $250 for the month.