December 27, 2019

ETF Thursday  Part 1

This week we we have broke our Paper ETF portfolio management into two parts.  Part 1 is analysis, liquidation and acquisition decisions. This week we are focused on our domestic holdings, U.S. Sectors and U.S. Sub-Sectors.  The image below is a screen shot of our current holdings in our ETF portfolio, which we are now 14 months in and have finally begun to show gains as the market has been trending higher in the past few months. Despite the fact that we believe the market is over-extended, in health care specifically, we follow our rules, follow the relative strength and add one trounche at a time. 

ETF Thursday Part 2

In management part 2, we add our new positions, discuss in detail why we our adding $XPH despite the fact that the ETF is incredibly parabolic.  We also spent some time managing our Delta neutral holdings, which consist exclusively of $SPY strangles. This is strategy is on the deeper end of the pool, and carries significant risk.  We manage the risk be rolling up and out when one side of our trade is challenged an/or we are inside 21 days to expiry.  

If you have any questions on either strategy we cover in comment below or on our social channels.  Reminder, everything we do is paper money simulation for demonstration only and should never be received as advice.