Well, I guess I was kind of right on friday. We did end up down, however, it certainly was not a bounce back rally. This may be a small short term pull back.
Well, this can be a HUGE problem with calendars sometimes. It sat and sat and sat, and then volatility fell and fell and fell.
Something has to give eventually. I'm hoping for a lot of front month decay to come out after the employment report into the long weekend.
The bad news, this trade has not made money. The VIX keeps dropping on us, and so we are treading water. The good news, we did this as a multi-month calendar.
Well the VIX has been dropping pretty hard over the last few days. The bad news is calendars are long vega. The good news is that IBM is sitting on the strike.
We are still sitting around 105.
Havent had to do anything yet!
I've decided to enter into a IBM Calendar for a couple or reasons. IBM has earnings at the end of the July Cycle. Typically, stocks will channel into earnins.
Welcome back, sorry for the delay in updating. We just found out my wife is pregnant, between that and some of the other irons I have in the fire I have been absolutely swamped.
Well, I exited the straddle today, for a loss of 20%. Yes even the great ones screw up sometime. But this brings up a good subject to talk about: when to exit a trade.