Thursday, 22 November 2012

NovWk4 - Happy Thanksgiving!

It's a public holiday in the US, thank goodness for that. I hate selling a trade on Monday because that just means I am more exposed for the trade.

The closer I sell to expiry, the easier for me to win the trade. But the more time in the market there is, the more exposed my trade; the risk increases. As a rule, I don't sell on Monday. But this is an exception.

So here I am faced with half a day of meaningful trading left. When markets reopen on Friday, it will be a hurried half day and it will all be over. The good thing with that is, if there are any attempts at trying to hit the strike price, the markets better get their act together.

Otherwise, forever hold your peace and expire worthless. And hopefully come back again next week for another opportunity. At the moment, premiums are gone. And my trade is safe, for now. There could be a surge on Friday, but unlikely as time decay accelerate by two times on Friday since it is a shorter trading day.

I am still hoping and at the same time vigilant. Prepared for anything. Likewise if you're also vested like me. I wish you all the best as well. Happy Thanksgivings.

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