Update 2/25/11

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NOV Bullish Diagonal

I made two trades in NOV this week, which ended up the week down about 1 point. On Wednesday I covered the position by selling 11 Mar 85 calls for 1.23. On Thursday I rolled the short 11 Mar 85s out to 8 Apr 85s for a 6.25 credit. Overall profit is up to 623%.

XLE Bullish Diagonal

XLE is the only position I had that is still uncovered at the end of this week. I did add 2 longs on Tuesday, rolling the 4 Jun 70 calls to 6 Jun 74 calls for 0.10 debit. Profit was up this week and now stands at 526%.

UA Bullish Diagonal

UA was down about 1 3/4 this week and profit on the diagonal dropped somewhat. I rolled the shorts from Mar to Apr on Thursday for 0.95 credit. Profit is now 136%.

DECK Bullish Diagonal

I opened a new diagonal in DECK this week. DECK had a wild ride especially after earnings Thursday night. The position is long 2 Jun 85 calls and short 2 Mar 100 calls for a 10.47 debit. Currently there is a 4% loss on the position.

Update 2/18/11

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NOV Bullish Diagonal

I made several trades on NOV this past week. On Wednesday I rolled the short Mar 80 calls up to Mar 85 calls for a 2.13 debit. This trade was to realign the delta difference between the long and short calls as it was less than 0.15 which risks delta inversion. On Thursday I bought those same Mar 85 calls back for 1.65 after NOV had moved higher 2 consecutive days. In order to buy them back I also had to sell 2 of my longs, the May 75 calls for 9.55. The current position is 11 May 75 calls for 3.00 debit and the overall profit is 614%.

XLE Bullish Diagonal

XLE moved higher last week and on Thursday I bought back the shorts for 2.10. I had to sell one long Jun 70 call for 7.85 to finance the purchase. Profit on the XLE position is now 448%.

UA Bullish Diagonal

On Tuesday I covered UA by selling 4 Mar 70 calls for 1.70. Overall profit at Friday's close is 151%.

Update 2/11/11

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Nice week with the diagonals as they increased my accounts 9.5% this week.

NOV Bullish Diagonal

On Monday I rolled the NOV longs up and added 5 additional contracts. The trade was -8 May 65 Calls/+13 May 75 Calls for a 20.30 credit. Strictly following Matt's rules would have allowed me to add even more contracts, but I decided to reduce the overall risk instead. After the trade Monday NOV promptly fell the next 2 days so on Wednesday I sold 13 Mar 80 calls for 1.73 credit. Thursday NOV then rose over two points, then today it dropped 1.59 so it has been a roller coaster this week. Profit currently stands at 593%.

XLE Bullish Diagonal

XLE traded down on Tuesday and Wednesday and I covered the position by selling 5 Mar 76 calls for 0.71. Overall profit is now 360%.

UA Bullish Diagonal

UA moved up 10% this week and on Tuesday I was able to roll the long call up and add an additional contract for a 0.30 debit. Now I have 4 Jul 60 calls for around a 5 debit. Profit now stands at 196%.

Update 2/4/11

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It has been busy the last couple of weeks with some travel in my day job so I missed updating the blog last week.

NOV Bullish Diagonal

NOV has gone up almost every day the last two weeks and posted good earnings yesterday. On Monday I rolled the longs up and added a couple of more contracts after the long delta hit 0.85. The trade was sell 6 May 11 60 calls, buy 8 May 11 65 calls for 0.60 credit. After earnings yesterday I bought back the short calls uncovering the position. NOV is now the best performing diagonal I have had with profits now standing at 603%. 

XLE Bullish Diagonal

XLE has been chugging upward the last two weeks as well. Last week I rolled the longs up from the 63 strike to the 68 strike adding 2 contracts for a 0.10 credit. This week I rolled the longs up again from the 68 to the 70 strike for another 1.43 credit. Yesterday I bought back the 3 shorts for 3.65 to allow the long to run uncovered. Overall profit now stands at 408%.

UA Bullish Diagonal

UA had two adjustments last week. First I bought the 2 short 60 calls back for 1.30 on 1/27. On 1/28 I rolled the longs up and added another contract for a 1.65 debit. So the current position is 3 Jul 55 calls. UA was up 5% today giving the majority of the current 93% profit.