Today we took two trades, AAPL and NFLX. We held the puts for about 10 or 15 minutes and sold them for a small 10% gain. This was rather than hold them beyond the scope of the morning trade time...although even had we held them for another 20 minutes the returns would be at least doubled.
The idea was that seeing as most people did not observe proper money management John felt that it best if we got out of trades very fast and definitely not hold them overnight. I expect to see some similar trades over the rest of the week. While I don't mind them I dislike trades being closed prematurely.
I think he was just trying to make a point.
One trade we got into at $2.30 (AAPL), and the other at $3.30 (NFLX). Both were closed for about 20 cent gains. Both went on to hit $3.95 and $4.40 by 1030h respectively. That was $1.65 and $1.10. By days end, had we just closed the trades near the end of day, which would be my idea instead of holding them, the prices were at $5.60 and $4.40. Those are some really nice gains. Seeing as it was mentioned that the trades were being closed due to his lack of faith in subscriber's money management skills that should have been a hint to hold the trades open for longer on our own... that was mentioned after the fact though.
Due to my small trading size my profits were $60. Better than a loss, I'll admit, but no great day.
Tomorrow everyone will whine that we should have held... John knows that. I am sure that he expects that.
What really sucks is one of the trades that expired on Friday was AAPL. We had puts on the $240 strike and today it plummets to hit $245. Go figure.
Jeff.
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