US Markets on January 14, 2020:
Nasdaq —- (-) 0.24%
DJIA ———– + 0.11%
S&P 500 ——- (-) 0.15%
Flat as flat could be.
A look at our trades.
GM PUT 33 Feb 21, 2020 has now moved down to $ 0.45. We are holding 3 contracts at $ 0.58. Loss per contract is $ 13.00 and total notional loss in this trade is $ 39.00 as of yesterday.
C CALL 82.5 Feb 21, 2020 did well yesterday. It was possible to get the trade at $ 1.25 in the early trades. The option value moved up in line with the stock price and made a high of $ 2.12. The last trade was at $ 1.57 and that is what we consider as the notional value. This trade gives a notional profit of $ 32.00.
Taking both the trades together, we are down by $ 7.00.
New Trade :
It is not necessary to have a trade everyday. The options we are holding are also a trade.
We do not add any new trade today.
Trade cautiously, trade profitably.
Disclaimer: This post and examples are for teaching purpose only and are not meant as advice/suggestion to trade in these stocks. Trading in Futures and Options can lead to big losses and should be done with appropriate knowledge and advice only. Mentioning the stocks here does not imply that I have a trading position or likely to take a trade in these stocks.