Exploring PUT Options

THE WEEK

This week’s Economic Reports issued sent us on a wild rollercoaster ride.  The CPI reported on Wednesday and the PPI reported on Thursday both before the Market opened.

LOOKING AHEAD

None of the economic reports scheduled for the coming week should be disruptive like the CPI and the PPI.  But it is the start of the heavy season of earnings announcements.  So, the Market could still be choppy.  A lot of investment money has been pulled out of the Market recently.  I believe they are waiting to see what the general feel of the quarterly reports issued by public companies looks like before jumping back in.  I definitely don’t sense any major panic and fear from investors.  The VIX is higher but that is to be expected when the Market suddenly goes down. 

HOW AM I DOING?

Because of everything going on in the Market and impending approach of Earnings Announcements, I didn’t find many new trades to place this week.  The trades I already had on did well.  I was PUT to a position on Friday which brings up the subject of this week’s Deep Dive.  I have had many emails asking how to handle things when you are put to including how to journalize the entries to reflect the PUT to.  The Market is showing increase volatility and the chances of having an option exercised has very high probabilities right now.

This Week’s DEEP DIVE

Exploring all the choices your have when you are PUT to a stock

See you on Thursday’s Webinar at 11:00am Eastern­­­