June 2003 Trades

Basic Strategy

Spread Trades

Index Trades


 

Basic Strategy Trades

This portfolio begins the first day of each month with $10,000 made up of the open positions from the previous month plus cash.

Disclaimer: This chart is for demonstration purposes only. No representation is made that these same returns are achieved by our subscribers.  Remember, past performance is no guarantee of future results.

We suggest that when this portfolio is in negative territory most traders would best be served by standing aside.

PositionSymbol ContractsEntry CurrentProfit/Loss ValueStopGoal Close Date
PricePrice
INTU July$45CIQU GI 4$1.50$1.20 ($120)$480$0.00 $3.00Open
ADI July$30CADI GF 4$4.00$4.80 $320$1,920$2.70 $6.50Open
Total Value$2,400
BoughtSold DateContracts PriceTotalCash
$7,040
FNM June$70C6/4/2003 4$5.50$2,200 $9,240
AZO July$80C6/4/2003 3($5.40)($1,620) $7,620
ZBRA Nov$70P6/5/2003 3($4.90)($1,470) $6,150
WMT June$50C6/5/2003 4$5.00$2,000 $8,150
WFMI July$55P6/5/2003 4($4.70)($1,880) $6,270
ATH July$75C6/6/2003 4($2.80)($1,120) $5,150
AZO July$80C6/9/2003 3$3.90$1,170 $6,320
WFMI July$55P6/9/2003 4$7.40$2,960 $9,280
BBH July$120P6/9/2003 4($4.90)($1,960) $7,320
ESRX July$70C6/10/2003 4($2.30)($920) $6,400
BBH July$120P6/11/2003 4$3.00$1,200 $7,600
ESRX July$70C6/11/2003 4$4.00$1,600 $9,200
ZBRA Nov$70P6/12/2003 3$3.40$1,020 $10,220
NBIX Aug$55C6/13/2003 4($4.10)($1,640) $8,580
ATH July$75C6/16/2003 4$5.00$2,000 $10,580
NBIX Aug$55C6/16/2003 4$5.50$2,200 $12,780
AZO July$80C6/17/2003 4($2.80)($1,120) $11,660
KLAC July47.50C6/18/2003 4($2.75)($1,100) $10,560
ADTN July$55C6/18/2003 4($2.95)($1,180) $9,380
BRL July$65P6/18/2003 4($3.60)($1,440) $7,940
AZO July$80C6/20/2003 4$1.50$600 $8,540
ADTN July$55C6/23/2003 4$1.70$680 $9,220
KLAC July47.50C6/24/2003 4$1.70$680 $9,900
EXPE July$70P6/24/2003 4($3.60)($1,440) $8,460
BRL July$65P6/25/2003 4$2.30$920 $9,380
GENZ July$40C6/25/2003 4($4.80)($1,920) $7,460
ADI July$30C6/25/2003 4($4.00)($1,600) $5,860
EXPE July$70P6/26/2003 4$2.30$920 $6,780
GENZ July$40C6/30/2003 4$2.50$1,000 $7,780
INTU July$45C6/30/2003 4($1.50)($600) $7,180
PortfolioValue $9,580
JuneProfit/(Loss) ($420)

Spread Trades

Spread trades are based on the assumption that we have $2,500 available per trade.  We offer trades as we find them.  You should not try to make all trades, but pick and choose your spots.


Date Trade Type Underlying Stock Expiration Month Type Of Order Strike Price Option Type Option Symbol Opening Price* Net Credit
4/21/03 Bull Credit Spread EBAY May

May

Buy To Open

Sell To Open

85

90

Puts

Puts

QXB QQ

QXB QR

-1.45

+2.90

$1.45

 

Opening  Debit (-) Credit (+)

Number Of Contracts

Cost of Trade

Additional Margin Requirements

Current Liquidation Value

Profit (Loss)

Stop

+1.45

7

+1015

$2485 0 +1015* +0

This trade is a bet that EBAY will be above $90 when May options expire on May 17th.

*This trade expired on 5/17/03 for a profit of $1015.


Date Trade Type Underlying Stock Expiration Month Type Of Order Strike Price Option Type Option Symbol Opening Price* Net Debit
5/14/03 Bull Debit Spread IGT June

June

Buy To Open

Sell To Open

85

90

Calls

Calls

IGT FQ

IGT FR

-4.40

+1.40

$3.00

 

Opening  Debit (-) Credit (+)

Number Of Contracts

Cost of Trade

Additional Margin Requirements

Current Liquidation Value

Profit (Loss)

Stop

-3.00

7

-$2100

$0 +2870 +700* -700

With a Bull (Vertical) Debit Spread you buy an in the money call and help pay for it by selling an out of the money call with the same expiration month.  This has the effect of limiting your upside potential, while dampening the effect of a downside move since the call you sold loses value if the stock goes down.

* This trade closed out on June 2nd for a loss of $700.


 

Date Trade Type Underlying Stock Expiration Month Type Of Order Strike Price Option Type Option Symbol Opening Price* Net Debit
5/23/03 Calendar Spread IBM Oct

June

Buy To Open

Sell To Open

90

90

Calls

Calls

IBM JR

IBM FR

-4.10

+.70

-$3.40

 

Opening  Debit (-) Credit (+)

Number Of Contracts

Cost of Trade

Additional Margin Requirements

Current Liquidation Value

Profit (Loss)

Stop

-3.40

6

-2040

0 1540 -500* -500

This Calendar Spread on IBM requires that IBM stay in its recent trading range between 84.50 and 90 until June options expire.

*This trade stopped out on 6/5/03 following the announcement of an SEC investigation into IBM's accounting practices.


 

Date Trade Type Underlying Stock Expiration Month Type Of Order Strike Price Option Type Option Symbol Opening Price* Net Debit
5/30/03 Calendar Spread GS Oct

July

Buy To Open

Sell To Open

85

85

Calls

Calls

GS JQ

GS GQ

-3.10

+1.10

-$2.00

 

Opening  Debit (-) Credit (+)

Number Of Contracts

Cost of Trade

Additional Margin Requirements

Current Liquidation Value

Profit (Loss)

Stop

-2.00

12

-2400

0 3120* +720 0

This Calendar Spread on GS requires that GS remain near 85.

* This trade closed out on 6/13 for a gain of $720.


 

Date Trade Type Underlying Stock Expiration Month Type Of Order Strike Price Option Type Option Symbol Opening Price* Net Credit
5/30/03 Credit Spread GS July

July

Buy To Open

Sell To Open

100

95

Calls

Calls

GS GT

GS GS

-.60

+1.50

$.90

 

Opening  Debit (-) Credit (+)

Number Of Contracts

Cost of Trade

Additional Margin Requirements

Current Liquidation Value

Profit (Loss)

Stop

.90

6

+540

2460 0 +540 -500

This trade is a bet that GS will be trading below 95 when July options expire on July 19.  Should that happen, both the options we bought, and the options we sold will expire worthless, and we will keep the $540 credit we received when putting on the play.


 

Date Trade Type Underlying Stock Expiration Month Type Of Order Strike Price Option Type Option Symbol Opening Price* Net Credit
6/27/03 Credit Spread OSIP July

July

Buy To Open

Sell To Open

40

35

Calls

Calls

GHU GH

GHU GG

-.40

+1.55

$1.15

 

Opening  Debit (-) Credit (+)

Number Of Contracts

Cost of Trade

Additional Margin Requirements

Current Liquidation Value

Profit (Loss)

Stop

+1.15

5

+575

$1925 -225 +350 -500

This trade is a bet that OSIP will be below 35 when July options expire on July 19. 


 

Index Trades

This portfolio begins the first day of each month with $5,000 made up of the open positions from the previous month plus cash.

Disclaimer: This chart is for demonstration purposes only. No representation is made that these same returns are achieved by our subscribers.  Remember, past performance is no guarantee of future results.

We suggest that when this portfolio is in negative territory most traders would best be served by standing aside.

PositionSymbol ContractsEntry CurrentProfit/Loss ValueStopGoal Close Date
PricePrice
No Open Positions0 $0.00$0.00$0 $0$0.00$0.00
Total Value$0
BoughtSold DateContracts PriceTotalCash
$4,000
OEX July$490C6/6/2003 1$22.00$2,200 $6,200
MNX July$120 Puts6/10/2003 3($5.10)($1,530) $4,670
MNX July$120 Puts6/11/2003 3$3.60$1,080 $5,750
PortfolioValue $5,750
JuneProfit/(Loss) $750