Option to Profit
Week in Review
May 25 – 29, 2015
|NEW POSITIONS/STO||NEW STO||ROLLOVERS||CALLS ASSIGNED/PUTS EXPIRED||CALLS EXPIRED/PUTS ASSIGNED||CLOSED|
|0 / 0||0||1||1 / 0||0 / 0||0|
Weekly Up to Date Performance
May 25 – 29, 2015
This was a really very forgettable week. Last week it was just forgettable. This week took it to an extreme that I hadn’t experienced before.
There were no new positions opened for the week, representing the third of fourth time that has occurred in over 3 years. But to make things worse, there was only a single expiring position.
In what was a terrible week, overall, the unadjusted and adjusted S&P 500 ended the week having gone 0.9% lower.
Lots closed in 2015 continue to out-perform the market. They are an average of 5.2% higher, while the comparable time adjusted S&P 500 average performance has been 1.5% higher. That 3.7% difference represents a 256.6% performance differential. That’s too large to be sustained, but I’ve been saying that for a while, including much of 2014.
I knew a few weeks ago that this was likely to be a quiet week, but had no clue just how quiet it would be.
With only one position set to expire this week and with premiums even lower due to the holiday shortened week, there wasn’t going to be much opportunity to work with existing positions, especially as the market was so indecisive.
With earnings no longer driving the market and interest rate concerns back in vogue, there’s not too much that looks as if it wants to push the market any higher, but that has been the prevailing opinion so many times over the past few years.
With it getting more and more rare to see a meaningful correction, we’ve tended to over-inflate the importance of even the smallest and inconsequential pullbacks.
Most, like this week, have been nothing more than minor hiccoughs on the way higher
With cash a little higher as a result of an assignment this week and no new purchases, I’m anxious to add some more positions as the new week opens, but am equally anxious not to get too anxious about doing so.
With a small number of positions set to expire next week, but a larger number to end the month in 3 weeks, any new positions next week are most likely going to look at either next week or the following week’s expirations.
As this week produced virtually no income, at least next week has a large number of positions going ex-dividend, and hopefully some opportunity to either add to the cash reserve or generate some needed income.
Next week will be an Employment Situation report on Friday and maybe there may be some fear re-introduced if it is going to offer a mumber that is deemed to be too good.
For now, I would welcome getting the pain of any interest rate increase out of the way so that we could back back to actually focusing on what’s going well in the economy and how good news should be treated as good news.
Wouldn’t that be nice for a change?
(Note: Duplicate mention of positions reflects different priced lots):
New Positions Opened: none
Puts Closed in order to take profits: none
Calls Rolled over, taking profits, into the next weekly cycle: none
Calls Rolled over, taking profits, into extended weekly cycle: GDX (6/12)
Calls Rolled over, taking profits, into the monthly cycle: none
Calls Rolled Over, taking profits, into a future monthly cycle: none
Calls Rolled Up, taking net profits into same cycle: none
New STO: none
Put contracts expired: none
Put contracts rolled over: none
Long term call contracts sold: none
Calls Assigned: LXK
Calls Expired: none
Puts Assigned: none
Stock positions Closed to take profits: none
Stock positions Closed to take losses: none
Calls Closed to Take Profits: none
Ex-dividend Positions: RIG (5/27 $0.15), ANF (5/29 $0.20)
Ex-dividend Positions Next Week: HAL (6/1 $0.19), JOY (6/2 $0.20), MOS (6/3 $0.28), BAC (6/3 $0.05), COH (6/3 $0.34), HFC (6/3 $0.33)
For the coming week the existing positions have lots that still require the sale of contracts: AGQ, ANF, CHK, CLF, FAST, FCX, HAL, .INTC, JCP, JOY, LVS, MCP, MOS, RIG, WFM, WLT (See “Weekly Performance” spreadsheet or PDF file)
* If you don’t have a program to read or modify spreadsheets, you can download the OpenOffice Suite at no cost.