Wednesday, December 12, 2012

Bullish position trades on GLD and IWM

I had been quite busy with my portfolio adjustments and new bullish position trades, as well as the blog in the last couple of days. So I decided to record the bullish position trades after blogging about the monthly income option portfolio to spread my limited time each day.

On Monday, I saw GLD and a couple of other ETF's meeting my bullish entry rules. Usually, I'd like to get into positions one by one. So I bought the GLD Jan14$157c LEAPS. I do intend to hold this one longer than other position trades as mentioned before, but I'm not sure if I have enough time to manage it later. So I may exit it along with other position trades if I have too many positions in my multiple portfolios.

On Tuesday (yesterday), I bought IWM June$80/Jan$86c diagonal for a position trade. I shorted the Jan$86c because IWM seemed to be risen quite a bit already. I may get rid of the short call later in a pullback.
For all of my position trades, I do plan to sell option premiums later when the stock rises extensively. I'll describe what I consider extensive later when I start to sell front month calls.

Additionally, I also increased my position size of IYR by 50% using a new bull call diagonal on Monday.

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