What a relief it is!
In last week's $106,191 Virtual Portfolio Update, we decided to hang tough on most of our positions into this week, anticipating the pullback and, FINALLY, here it is! As I said last week, Wednesday before expiration day is the day we needed to make some choices and today is DDay for having our changes for the month lined up with just 48 hours left to move.
As with all of our updates that occur during the option month, don't be alarmed that we are making slow progress in our header - we're only adding in the profits as we close positions from our April 10th start with our virtual $100,000. We are not including profits from the positions still working because: IT ISN'T REALLY A PROFIT UNTIL YOU CASH IT OUT... OK then, week 9 and this will be our 2nd major expiration week (we sold May puts and calls in April) so let's get serious!
The primary goal of this virtual portfolio is to be conservatively hedged. The secondary goal of this virtual portfolio is not to mess around with it. These are meant to be nice safe(ish) positions that do not require you to sit glued to a monitor all day. If you are new to this section, please read the May 25th update as there was much wisdom in there. This week we have some work to do so no fortune-cookie notes today! Keep in mind this is a virtual portfolio and doesn't have to be followed exactly, the main idea is to teach proper hedging techniques and demonstrate that you can make a nice return without putting yourself at constant, daily risk. As this is a rollover week - it should be noted that our new moves (in red) can be treated as new entries by someone starting from scratch and, as always, feel free to check with me in chat if you are not sure.
