Wednesday, December 1, 2010

My decision....

I have decided that I will stick to trading the weekly options. However, I will not take a position that will require the purchase of more than 5 -6 options contracts. This will mean that my commissions will never be higher than $18.00 for a round trip and if I keep positions to 5 or less commissions will not be higher than $15.00.

Although this is still fairly high, my account should survive long enough (I hope!) until I get a big winner.
On to my next adjustment. Today I did not follow my plan in RIMM and panicked and exited too early. So instead of making about $200 - $300 in profits, I ended up losing over $200 on the trade.

Anyways as I stated before, my account now stands at about $605.00 and I have one day trade left for the week. The markets are giving very mixed signals now and there are not many obvious trades in the stocks that have weekly options. So I plan to be very patient and wait for an excellent set up before I trade again.

Until then good luck with you trading!

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