And we're back to normal. The news agencies are talking about nothing, we've been pormised interest rates at 0 for at least another 2 years, and stocks are moving higher. Easy money right? It will be, 'till it isn't.
Nothing has changed. Big themes still fully intact.
Assets
Cash = $61,570
Equities
--> XIV -- 2000 * 10.10 = 20,200 [2000@14.75 = 29,500 ~ -9,300]
--> RIMM -- 200 * 27.11 = 5,422 [200@28.75 = 5,750 ~ -328]
--> SLW -- 300 * 38.67 = 11,601 [300@33.67 = 10,100 ~ +1,501]
--> GDXJ -- 200 * 36.03 = 7,206 [200@32.75 = 6,550 ~ +656]
= 20,200 + 5,422 + 11,601 + 7,206
= 44,429 [51,900 ~ -7,471]
Total Assets = 61,570 + 44,429= $105,999
Liabilities
Options
--> OCT'11 SLV $35 PUTS - 30 * 1.34 = 4,020 [30@2.16 = 6,470 ~ +2,450]
--> JAN'12 LULU $40 PUTS - 20 * 2.60 = 5,200 [20@3.50 = 7,000 ~ +1,800]
= 2,450 + 1,800= 9,220 [13,470 ~ +4,250]
Total Liabilities= $9,220
Total = 105,999 - 9,220= 96,779 [-3,221; -3.22%]
Still have a ways to go in recouping our losses from last week, but we certainly did better than the market in the last week. Not that I care about the market, I care about my results. And right now, I'm still down 3.22% in the last few months. Waste of time and resources. But if the markets calm down and our position in XIV turns around, we'll be sitting very pretty. Not to mention we still have lots of cash to take advantage of a big downturn. Keeping my eye on KGC. I think it's getting ready to make a multi year run soon. Will probably buy some on a another down leg, or maybe use the options market like we have in SLV. Not sure yet.
Monday, August 15, 2011
Tuesday, August 9, 2011
Another wild day. If you can say one thing, it's that the financial world is not boring these days. The markets are not in valuation mode, that's for sure. It's purely reactionary to different news items, and investor confidence in whether the government can 'fix' the problems. We know they can't, so filter the noise out and brace for more stormy weather.
The markets are closed, and although the values have been all over the map, at least we can give an update now. A +- 10% over the course of any day or couple days is fully possible at this time, but we're still positioned well, so I'm not gonna sweat it. Neither should you.
Assets
Cash
= $61,570
Equities
--> XIV -- 2000 * 10.72 = 21,440 [2000@14.75 = 29,500 ~ -8,060]
--> RIMM -- 200 * 23.12 = 4,624 [200@28.75 = 5,750 ~ -1,126]
--> SLW -- 300 * 35.44 = 10,632 [300@33.67 = 10,100 ~ +532]
--> GDXJ -- 200 * 33.93 = 6,786 [200@32.75 = 6,550 ~ +236]
= 21,440 + 4,624 + 10,632 + 6,786= 43,482 [51,900 ~ -8,418]
Total Assets
= 61,570 + 43,482
= $105,052
Liabilities
Options
--> OCT'11 SLV $35 PUTS - 30 * 2.53 = 7,590 [30@2.16 = 6,470 ~ -1,120]
--> JAN'12 LULU $40 PUTS - 20 * 4.40 = 8,800 [20@3.50 = 7,000 ~ -1,800]
= 7,590 + 8,800= 16,390 [13,470 ~ -2,920]
Total Liabilities= $16,390
Total
= 105,052 - 16,390
= 88,662 [-8,418 -2,920 = -11,338, -11.34%]
Big hit from last week, but we're in some solid trades. Even though our options are down, both are sitting outside the money, and their value is a direct result of the VIX skyrocketing. The VIX will come down, time decay will eat at their values, and we should reap the rewards. This would imply that we should sell some options here, which is exactly what I'm thinking of. However, I'm not going to be greedy at this point, I'm going to wait and see what the rest of the week brings. It'll be unfortunate if we miss a good oportunity to dive in, but ultimately I'd like to hunker down and keep some cash just in case there's even better opportunities in the next little bit.
The markets are closed, and although the values have been all over the map, at least we can give an update now. A +- 10% over the course of any day or couple days is fully possible at this time, but we're still positioned well, so I'm not gonna sweat it. Neither should you.
Assets
Cash
= $61,570
Equities
--> XIV -- 2000 * 10.72 = 21,440 [2000@14.75 = 29,500 ~ -8,060]
--> RIMM -- 200 * 23.12 = 4,624 [200@28.75 = 5,750 ~ -1,126]
--> SLW -- 300 * 35.44 = 10,632 [300@33.67 = 10,100 ~ +532]
--> GDXJ -- 200 * 33.93 = 6,786 [200@32.75 = 6,550 ~ +236]
= 21,440 + 4,624 + 10,632 + 6,786= 43,482 [51,900 ~ -8,418]
Total Assets
= 61,570 + 43,482
= $105,052
Liabilities
Options
--> OCT'11 SLV $35 PUTS - 30 * 2.53 = 7,590 [30@2.16 = 6,470 ~ -1,120]
--> JAN'12 LULU $40 PUTS - 20 * 4.40 = 8,800 [20@3.50 = 7,000 ~ -1,800]
= 7,590 + 8,800= 16,390 [13,470 ~ -2,920]
Total Liabilities= $16,390
Total
= 105,052 - 16,390
= 88,662 [-8,418 -2,920 = -11,338, -11.34%]
Big hit from last week, but we're in some solid trades. Even though our options are down, both are sitting outside the money, and their value is a direct result of the VIX skyrocketing. The VIX will come down, time decay will eat at their values, and we should reap the rewards. This would imply that we should sell some options here, which is exactly what I'm thinking of. However, I'm not going to be greedy at this point, I'm going to wait and see what the rest of the week brings. It'll be unfortunate if we miss a good oportunity to dive in, but ultimately I'd like to hunker down and keep some cash just in case there's even better opportunities in the next little bit.
Friday, August 5, 2011
Well, the debt limit was resolved [kinda?]. Don't have much time to write a report, but the markets got smacked yesterday, and have been on a roller coaster ride all day today.
We have a fair bit of cash still, so lets jump into this market here. This is why we hold cash.
Buy 200 Shares of SLW @ Market [$34.00] - $6,800.00
This will give us a 300 share position. Like I said, I would really like to build a sizable position in this company. I strongly believe silver is moving higher, much higer, and Silver Wheaton is perfectly position to profit from this move. This should hopefully mean larger upside to the price of silver.
The volatility has also pushed XIV way down. The size of the drop is fairly concerning, as this is a smack down of almost 50% from top to bottom. But lets gamble. Lets double down here.
1000 Shares of XIV @ Market [$12.00] - $12,000.00
The Gold and Silver juniors have also been hit real hard, in this move. So lets jump on that board and hope that this move has over reacted.
200 Shares of GDXJ @ Market [$32.75] - $6,550.00
That's it for now. Only going to update the cash and stock positions for our account, as trying to do a live update is futile in a market moving as much as it is currently.
Account Details
Assets
Cash
= 86,470 - 6,800 - 12,000 - 6,550
= $61,120
Equities
--> XIV -- 1000 + 1000 = 2000 Shares
--> RIMM -- 200 Shares
--> SLW -- 100 + 200 = 300 Shares
--> GDXJ -- 200 Shares
Total Assets --
Liabilities
Options
--> OCT'11 SLV $35 PUTS * 30
--> JAN'12 LULU $40 PUTS * 20
Total Liabilities --
Total--
We have a fair bit of cash still, so lets jump into this market here. This is why we hold cash.
Buy 200 Shares of SLW @ Market [$34.00] - $6,800.00
This will give us a 300 share position. Like I said, I would really like to build a sizable position in this company. I strongly believe silver is moving higher, much higer, and Silver Wheaton is perfectly position to profit from this move. This should hopefully mean larger upside to the price of silver.
The volatility has also pushed XIV way down. The size of the drop is fairly concerning, as this is a smack down of almost 50% from top to bottom. But lets gamble. Lets double down here.
1000 Shares of XIV @ Market [$12.00] - $12,000.00
The Gold and Silver juniors have also been hit real hard, in this move. So lets jump on that board and hope that this move has over reacted.
200 Shares of GDXJ @ Market [$32.75] - $6,550.00
That's it for now. Only going to update the cash and stock positions for our account, as trying to do a live update is futile in a market moving as much as it is currently.
Account Details
Assets
Cash
= 86,470 - 6,800 - 12,000 - 6,550
= $61,120
Equities
--> XIV -- 1000 + 1000 = 2000 Shares
--> RIMM -- 200 Shares
--> SLW -- 100 + 200 = 300 Shares
--> GDXJ -- 200 Shares
Total Assets --
Liabilities
Options
--> OCT'11 SLV $35 PUTS * 30
--> JAN'12 LULU $40 PUTS * 20
Total Liabilities --
Total--
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