Big down move in RUT today! I was skiing today and was absent for much of the hoopla. Remember when I said if RUT acted up I would just close the Feb 55 day position? Well, I missed the move. By the time I got to the computer it was 3:30, the damage was already done and the position lost about $900 so I was only up about $500. Since I’m not ready to close the position at a 10% gain, I’m still in. I did have enough time to make a minor adjustment though, I rolled the 590/630/670 call butterfly down to a 570/610/650 put butterfly. The position is still very + delta but is better than it was. Currently, I’m not sure what the p/l is as I did not get home till late tonight and the T+0 line on the graph looks whacky so I’m assuming it is not correct and therefor am not going to bother posting graphs today.
The Feb method 1 got hit hard today as well. It was more than10 points past it’s adjustment point by the time I got to it, but it was only down about $180. That is one of the advantages of rolling back the position when you are concerned that you may get a big move as opposed to blowing it out to a condor early. What I did is bought back the 600/620 put side of the iron butterfly and rolled it back to a 550/570. I now have a range from 570 to 620 on the position before it gets into trouble. The only bummer is that I need to lower my profit target to about $650. Again I think the T+0 line is wrong so I’m not posting the graph tonight.
The Feb method 15 took a beating today as well. Not sure what the p/l is but I’m sure it is still well in positive territory. Again I am well past the adjustment point but did not have time to adjust it so currently it has no changes.
As for the March 55 day position, the move was no problem and there were no adjustments. OK, guess that’s it. I’ll post charts over the weekend!