As per my previous post, the market seems to be punching right through to 2150. \u00a0There’s little overhead resistance as anyone afraid of these price heights sold weeks ago. \u00a0Sentiment is still bearish but price is price, so it’s best to follow that.<\/p>\n
Urban Carmel believes all gains will eventually be sold within the next couple of weeks. \u00a0Cobra believes\u00a0the same. \u00a0These are the only two technicians I really follow (mostly out of interest and not practicalities).<\/p>\n
Summary of their positions:<\/p>\n
The RSI made a new high and likely we should see a small pullback and then higher highs. \u00a0 Typically, before a top can be considered, we have to see a new high without a new high in RSI. He goes on to say the triangle usually means last push up in wave theory and usually is the final flag and as well, \u00a0its “sell in may” time. Both use different evidences but come to same conclusion:<\/p>\n
A new high followed by a pull back erasing all the gains since last week.<\/p>\n
My plan?<\/p>\n
On any pullback I will get my delta’s closer to 0 or slightly positive to protect myself from a big push up towards 2150\/2160.<\/p>\n
If there is no pullback and we go straight there, I’ll manage my deltas as I have been – \u00a0by taking off call spreads.<\/p>\n
The June RUT MIC is up 2.3% so far (it was up about 3%) but the huge move up yesterday put pressure on the call side. \u00a0Our delta is still ~27 which I’ll reduce more today. Yesterday, I took off 6 of 35 call spread units. For some reason or other, I hate taking off call spreads and that’s gotten \u00a0me in trouble before. So now I make sure to be pretty diligent in adjusting. I think I could have been a bit more diligent yesterday by taking off another 3 units to halve my delta.<\/p>\n
The SPX MIC is about 2% as well. Not really pressured for adjustments yet though. I made no adjustments yesterday. Wasn’t pressuring our \u00a0adjustment points.<\/p>\n
The alpha portion of the protector is up about 5.8% and the hedge is down about 2% putting is at about 3.8% for the year (just a bit above SPY but we’re fully insured\/hedged). Gotta love that.<\/p>\n
<\/p>\n
<\/p>\n","protected":false},"excerpt":{"rendered":"
As per my previous post, the market seems to be punching right through to 2150. \u00a0There’s little overhead resistance as anyone afraid of these price heights sold weeks ago. \u00a0Sentiment is still bearish but price is price, so it’s best to follow that. Urban Carmel believes all gains will eventually be sold within the next … Continue reading Trade Plan – May 19<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[1],"tags":[6,3,5,4,13,12,7],"class_list":["post-503","post","type-post","status-publish","format-standard","hentry","category-trades","tag-jeep-trade","tag-mic","tag-modidor","tag-modified-iron-condor","tag-protector","tag-protector-alpha","tag-weirdor"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p5IMbd-87","jetpack-related-posts":[],"_links":{"self":[{"href":"http:\/\/www.travelsandtrades.com\/index.php?rest_route=\/wp\/v2\/posts\/503","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/www.travelsandtrades.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.travelsandtrades.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.travelsandtrades.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/www.travelsandtrades.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=503"}],"version-history":[{"count":1,"href":"http:\/\/www.travelsandtrades.com\/index.php?rest_route=\/wp\/v2\/posts\/503\/revisions"}],"predecessor-version":[{"id":504,"href":"http:\/\/www.travelsandtrades.com\/index.php?rest_route=\/wp\/v2\/posts\/503\/revisions\/504"}],"wp:attachment":[{"href":"http:\/\/www.travelsandtrades.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=503"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.travelsandtrades.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=503"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.travelsandtrades.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=503"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}