That Was The Week, Thin Trading Coinciding with Bonuses?
Thinly traded, thinly veiled, they were bumping up the market. So cynics might say. We say the December expiry was the event, after which it was just fiddling around. While we will place no trades due to market closings, we can reflect on 2022. How did we do? We created 49 Trades and we had 5 losers. We are not going to boast about returns but looking at the losers, they were trades taken with a ‘pinch of salt’. Look back at August, if you need time away from Xmas. Those 2 losing trades were taken with a few words of warning/protest. Losses were in the order of 25.5 and 84*. I say again we are not about bragging rights based on limited information and mental acuity. We trade simply by using a brief scan of options prices, and a fair idea of where the market is.
*We morphed this into a winner, ironically and 25.5? we hate iron condors!
Information sources limited to chart of FTSE from https://uk.investing.com/indices/uk-100-historical-data Along with options prices from https://www.theice.com/marketdata/reports/265 and the calculator https://www.cmegroup.com/tools-information/quikstrike/options-calculator.html?utm_source=LINKEDIN_COMPANY
However, while our resources are cost free, they are accurate and they work. We need few bells and whistles, but that is our choice. Many traders are far smarter with technical analysis, and some use expensive real time data. However, we feel such data can be a distraction, and you can get ‘analysis paralysis’. Changing our approach after many years of whittling down the excess has served us well. Bigger pictures are public domain. Longer time frames can be more helpful. Fibonnaci, pivots,Elliot Wave, Ichimoku, we take our hats off to those who profit by these means. However I think we all have to find our own way, and trust our judgement, knowing we have been diligent without stressing. Trading is, you know, tough, so we lighten the load where possible.
The Year in Charts
Distraction Trades
ADA $0.2579 Not much hope with cryptos
XRP $0.3525
DAX 2 no entries 1 loser -30, one break even +30 one win 100. We miss yuge moves but one was at 03.00am our time.
So, time to look with a fresh pair of eyes at Forex?………..
Trade 297 The Widest Butterfly in The Village
So as above we now have banked 4.5 and we will chart the progress of the butterfly. A 400 point wide spread we own for free has to make ££££more. Anyone NOT noticing the power of options yet?
Those prices now: 67.5 13.5 and 6 So our butterfly is worth 67.5+6 minus 13.5×2= 46.5
