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Old 10-01-2019, 11:54 AM   #1941
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OK, thanks for that news update. It's turning into almost a 3% delta from high to low today.
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Old 10-01-2019, 01:23 PM   #1942
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So I noticed that SPSB was trading higher today and up more than a total US bond index fund ETF which is unusual. Normally a short-term bond index ETF like SPSB does not move as much as something like AGG, BND, SPAB. So I sold all my shares of SPSB. Now with the cash I intend to buy something equity ETF that has dropped a lot today like IJS or SPSM or both. 060 I'll update if I make a trade.

Update: Bought shares of SPSM (US small-cap index ETF) when a limit order executed. I intend to hold only a day or so and will sell a similar number of shares if the price goes up, but in a different account where I already own shares. That way, no commission and no taxes either for a quick turn-around. If the shares go down, I'm not sure what I will do.
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Old 10-02-2019, 01:20 PM   #1943
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Oh, well, bought too soon, but there is more buying of equities on the horizon, but just not today.
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Old 10-03-2019, 10:20 PM   #1944
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Yesterday, 10/2/2019, the ADP report came out not as strong as expected. The Dow dropped almost 500 points.

Today, the market was in the green, when at 10AM eastern time, the ISM non-manufacturing index came out weaker than expected. That immediately knocked the Dow down 300 points.

I though of buying back some covered-call options to book the gain, but decided against it, fearing the market would drop more.

Went on an grocery run with my wife, and came back home after the market close. Found the market ended up in the green.

Crazy stuff! That's why I don't know how to do daytrading. I have been trying to do month-trading using options, and even that is plenty hard.
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Old 10-04-2019, 07:43 AM   #1945
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Yep, it's a crazy unpredictable stock market, but what else is new?

Since MTUM has been doing better than the stuff I bought, I decided this morning to sell shares of BND (total US Bond) and buy shares of MTUM (Momentum ETF, basically large-cap US hot stocks) 534 My intention is to sell when I've made $500 which might happen (hopefully?) by the end of the day.

As for the SPSM that I bought on 10/1 which subsequently tanked on me, my position is now in the black, so it has surprisingly recovered at least for now.
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Old 10-04-2019, 08:20 AM   #1946
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Because I cannot tell what the market is going to do day-to-day, I use options to slow down my trading frequency. I sell out-of-the-money covered calls on stocks I hold that are outperforming the market, betting that they will revert to the mean. I sell out-of-the-money cash-covered puts on stocks that are currently weak, but something that I do not mind owning if I get assigned.

Currently, I am short covered calls on semiconductor stocks, and cash-covered puts on some healthcare and pharmaceutical names.

My intention is usually to let them expire at the month end, and to take assignment if that happens. I figure being forced to sell high and to buy low is not a bad thing.

However, I have been closing them out to book gains when the market goes crazy as it has been doing recently, in order to take short-term gains.
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Old 10-04-2019, 12:17 PM   #1947
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I gotta post an update for this morning's trade while things look good and before they head down: Almost, almost there!

Update: I've decided that I cannot stay overweighted in equites through the weekend, so I have to sell something here in the last 50 minutes. I cannot sell the MTUM bought earlier today and buy something else with the money without violating the free riding rule, so I will sell some SPTM (total US stock market) in the next 50 minutes in the same dollar amount of the MTUM that I was intending to sell. By posting that I am going to sell will actually make me go through with it. I won't update this thread until after today.
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Old 10-06-2019, 10:56 AM   #1948
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Things don't always seem as they appear is the message of today. On Friday, I made a trade that netted about $500 which was what I was trying to do, but ...

I sold BND and MTUM, then sold SPTM to get back to my desired 60/40 asset allocation. 806. No commissions and no taxes along the way since all in tax-deferred accounts. On the face of it MTUM gained me the $500. However, BND went up after I sold shares and I sold shares of SPTM below the high of the day, that is, too soon. If I had simply held BND and SPTM to the market close, I would have gained another $150 or so, so net was about $500 - $150 or $350. Now money is money and I am not complaining since this little one-day gain is like getting an over 200% yield on BND, but there is a lot of risk involved, so don't forget about the details behind the scenes.
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Old 10-06-2019, 07:04 PM   #1949
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I meant "I sold BND and bought MTUM, then ..." in the previous post. Sorry.
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Old 10-07-2019, 01:56 PM   #1950
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Used the cash created by selling SPTM on Friday to buy BND today at a lower price than I had sold BND for on Friday.

So I'm back to no cash and my desired asset allocation.
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Old 10-10-2019, 12:53 PM   #1951
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With all the no-commission trade deals I am cleaning up various accounts that have had free trades in the past, then had commissions (so I stopped making trades and never paid a commission), then are back to free trades. Also with total US bond index funds down quite a bit this morning, but short-term corporate bond index not so much, I sold all shares of VCSH (short-term corporate bond index) that I possess and bought BND (total US bond index) with the money. Also I sold all shares of AGG (total US bond index) and bought BND with the money.

Basically, this is a bit of housekeeping, but the sums are significant, so I felt I had to report the trades. 360.
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Old 10-11-2019, 07:42 AM   #1952
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Yesterday's trade has been unprofitable. Oh, well.

I continue this morning in simplifying anyways. I've submitted a limit order to buy more BND this morning with some cash I held back from selling VCSH yesterday to go along with the cash received overnight for unloading the fractional shares that arose from dividend reinvestment back into the ETFs

I'm using a limit order because I have enough cash to buy XXX.98 shares at the current price, but I should be able to get XXX+1 shares at a slightly lower price which is what my limit is set at. In this way I can use all remaining cash except for a few cents left in the sweep account.
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Old 10-18-2019, 03:01 PM   #1953
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Just earlier this week, so many of my covered calls got in-the-money, and looked to be exercised. That would have brought down my stock AA closer to the 50% that I targeted.

Then, the stocks stumbled, and as the options expired today, only a few lots will get assigned, and I still have these shares. The same thing happened last month. It's OK, as I will look to sell more call options on them soon.

The option premium I get for this month is enough for us and the children and son-in-law to go to Hawaii for a week. So, I guess that is plenty good.

I need to stay active with my option selling in the last 2 months of this year, if I want to repeat last year's 6-figure profit from option premium.
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