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That is correct. Below is an excerpt from one of my posts from June 2012 (SPX Strangle)
sandeep June 19, 2012 6:50 PM I am heavily influenced by the trading style of Tom Sosnoff. I am a member of tastytrade and I strongly encourage anyone who wants to become a better trader to join tastytrade.
Hi Sandeep, I've been a long time follower of you and Jason on this blog. My question is when did you begin adopting a more diversified portfolio of smaller positions similar to what Tom S does? Do you feel that its impacted your PNL profitably over the long haul?
Hi, Regarding diversification I think I've been doing that for a couple of years - and certainly as I've moved from trading primarily stock to primarily options my diversification has increased. There was a time when I was mostly in stocks that a single underlying represented more than 50% of my net asset value - and when it tanked my account suffered badly.
Having multiple small positions makes things much easier to manage - I would refer you to my previous SPX trade in June 2012 as an example - it went badly from the beginning but because it was small I was able to easily adjust it and eventually turned it into a nice trade. That happens quite often but only if you remain small enough that you can adjust a bad position and wait till the market accomodates you.
Not much to talk about with the market closed, so for anyone interested here is a picture of the logo for our beer that I designed over the weekend and a mock up of what the mug will look like. Jason, if we meet someday I'll have a mug for you.
If I'm going to show the mug I should show the brew also - here is one of our current projects which has been fermenting in my basement for a few weeks. This is a Bourbon Barrel Stout, the bourbon soaked oak chips floating on top.
Closed out the Dec puts a little while ago - liked the position but needed to free up margin in the account. Will summarize results tomorrow in a November update post.
Looks like you've been watching Tastytrade
ReplyDeleteThat is correct. Below is an excerpt from one of my posts from June 2012 (SPX Strangle)
ReplyDeletesandeep June 19, 2012 6:50 PM
I am heavily influenced by the trading style of Tom Sosnoff. I am a member of tastytrade and I strongly encourage anyone who wants to become a better trader to join tastytrade.
https://www.tastytrade.com/tt/
Hi Sandeep,
ReplyDeleteI've been a long time follower of you and Jason on this blog. My question is when did you begin adopting a more diversified portfolio of smaller positions similar to what Tom S does? Do you feel that its impacted your PNL profitably over the long haul?
Hi,
ReplyDeleteRegarding diversification I think I've been doing that for a couple of years - and certainly as I've moved from trading primarily stock to primarily options my diversification has increased. There was a time when I was mostly in stocks that a single underlying represented more than 50% of my net asset value - and when it tanked my account suffered badly.
Having multiple small positions makes things much easier to manage - I would refer you to my previous SPX trade in June 2012 as an example - it went badly from the beginning but because it was small I was able to easily adjust it and eventually turned it into a nice trade. That happens quite often but only if you remain small enough that you can adjust a bad position and wait till the market accomodates you.
Trade Update:
ReplyDeleteBought to close the Nov 1535 calls for $0.30 debit.
Sold 2 Nov 1305 Puts for $2.95
ReplyDeletePosition is now:
-5 Nov 1305 Put
-5 Dec 1185 Put
Should have a nice jump in vol this morning, will lay out some more Dec SPX puts when market opens.
ReplyDeleteSold 2 Dec 1170 Puts for $3.00.
ReplyDeletePosition Review:
ReplyDeletehttp://screencast.com/t/9uqDvAIHHDCU
Not much to talk about with the market closed, so for anyone interested here is a picture of the logo for our beer that I designed over the weekend and a mock up of what the mug will look like. Jason, if we meet someday I'll have a mug for you.
ReplyDeletehttp://screencast.com/t/j8pJ3dvFE
If I'm going to show the mug I should show the brew also - here is one of our current projects which has been fermenting in my basement for a few weeks. This is a Bourbon Barrel Stout, the bourbon soaked oak chips floating on top.
ReplyDeletehttp://screencast.com/t/kNG3zckP
Sounds good, we will meet up someday for sure.
ReplyDeleteTrade Update:
ReplyDeleteSold 7 Dec 1530 Calls for $1.41 to straddle the position.
Trade Update
ReplyDeleteBought to close the Dec 1530 calls for $0.60
Trade Update:
ReplyDeleteClosed the November puts for $1.00 debit.
Closed out the Dec puts a little while ago - liked the position but needed to free up margin in the account. Will summarize results tomorrow in a November update post.
ReplyDelete