20 June 2019 Thursday newsletter

Greetings: EXITED Gold CALLs and a Crude Oil CALL this morning.

Gold up over $38 per ounce this morning.  I closed out my two gold CALLS with a large loss this morning, not wanting to risk any further due to volatile actions between USA/ Iran.

I closed my SEP19 1500-strike CALL for 9.50  ($950)    loss of  9.30 minus 0.7 = (-$880)
I closed my DEC19 1700-strike CALL for 5.80 ($580)    loss of 5.80 minus 1.40 = (-$440) per option

I also closed for a loss my SEP19 70-strike Crude Oil CALL for .24 for a  loss of 0.15 (-$110) per option.

It was a combination of an act of war by Iran shooting down USA drone.  Also an over reaction to the FED statements indicating intent to reduce interest rates – perhaps multiple times this year.

These unpredictable events and a setback of course for me.  I did not exit per 200% rule and have paid the price for taking that risk.  It was a calculated risk that obviously did not work out.  For me, too many uncertainties to stay in these trades as there is potential for even more larger losses.

Summary of my Positions 20 JUNE 2019:

  DEC19  Crude Oil short strangle  30 PUT and 90 CALL for .30 ($300)    I got 0.20 ($200) for the DEC19 30 PUT, and sold the DEC19 90 CALL for 0.10 ($100)

Gold DEC19  Short Strangle: Selling the 1150 PUT , sold for 0.50 


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