troubled times for a market neutral trader.
What did I do today - till 2pm nothing. The damage was done. The market was coming to my direction.This gave me time to assess the situation and consider coarse of action.
My butterflies and Iron condor have become unrecognizable in my account. The final adjustments have melted these position into one. Currently my delta are -5 and I have gamma of .53 and Theta has become NEGATIVE. The last means that I am outside my Expiration break evens. My position will not change significantly on Monday between 640 and 800. So what ever Uncle Hank throws us over the weekend, I will not pay the price.
Over the weekend I will do some more analyzes on my positions. I am seriously considering another butterfly on the 760 level. I need some time with myself to fight about that one.
My position size is less than 40% of my normal position. I am not yet in my 30 days trades and I have only half of the butterfly on. So result on an cash-flow basis are not good, on a average per month basis they are still acceptable.
My directional bias is up; I can't imagine Bush and Co coming out with 'BAD' news on Sunday.
In closing one thought for everyone with children: "Use the weekend to find a good reason and explain why we gave them an extra Trillion USD of deficit to pay off".
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