The Option Writer

99% boredom vs 1% mega stress

📅 June 9, 2023 edition

Another week to play it cool

Next week will be 🥳“fun”:

I am sure markets will be all over the place, regardless of the outcome of the news. I might even try to trade it (just for fun, right?), but I don’t want to spoil the boring routine of writing options. There is no need to risk anything here, as the markets will probably resume the lethargic status we want, after the news:

I have 2 small call positions at $2000 and $2050 and if possible will add 1 or 2 more Put positions, but I want to be maximum 50%-60% allocated this week. I rather have the ammunition to engage after the event, for the June 23 epoch than to 🪙flip a coin here.

This is when we 🏖️rest for a week, manage a small position, and get back next week, slow and steady. After all, there is no catastrophic outcome in making 0.5% to 1% some designated weeks. We just want to keep growing!

📋June 9 Epoch review

Small allocation week as I had no good opportunities to build more positions for June 9. I briefly considered closing P1750 as I had it hedged, but I decided to assume some 🙈risk, considering the hedge already built.

Another almost uneventful week, as we like them 💤

• $2050 CALL

• $2000 CALL

• $1750 PUT

📋June 16 Epoch plan

As explained, I want to build a 🤏smaller position this week, while reserving capital to start the June 23 epoch after FOMC. I started with C2000 that I sold during this week, and a small C2050 on June 23. I got some P1700, and I am looking to sell more Puts, and set this week’s position with 50%-60% capital allocation.

• $2050 CALL (June 23!)

• $2000 CALL

• $1750 PUT

• $1700 PUT

📈📉My results

Average Yield %: 1.68%

Projected APY %: 138%

Growth %: 23.2%

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Nothing in this newsletter is financial advice. I just share my thoughts and personal experiences on Options and the markets in general

Disclaimer: I utilize AI writing tools to assist me in refining the English language, as English is not my native tongue. While the content is entirely original, the form may contain some AI-driven enhancements.