Bxb at 581 (v 590). I've still got two thirds of my initial position and it looks like todays action has confirmed a minor break down.
The next target would be the low under 570 in mid May as the stock had its first leg down.I also bought some more Iag at 333 early on - it's back to 337 now - as it touched the bottom of the range at 332. I'm still short half the original position and I might just use a trailing stop or watch for a bullish signal on the 60 minute chart in order to buy back the rest.
Also bought back the last of the small hedge in Wpl at 4093, not such a good buy as it's now 4072. The last of my June 4400 calls are only worth about 6 now compared to a buying price of 130. I did sell half out at 188 but hung on to the rest for way too long. The hedge, late as it was, managed to claw back 30 cents for each of the options remaining. There was ample opportunity to hedge at around 4300 and because the hedge would have been larger at that price level I could have retrieved most of the option value. This is a facet I need to improve on - I tend to mentally write off the value of the options and neglect my hedging. Once the stock has failed to do what I'm expecting there should be only two courses of action. Sell the option out or hedge. I can always reconsider once the picture is clearer. For example, in the case of Ozl this morning I felt the stock had hit support so I was happy to take off the hedge.
11.58 Macquarie is weak today and has been as low as 3606. I sold out some June 3900 puts at 272 average (v 98) as it neared the 3600 support level. I don't think I wrote about these because I was a bit embarrassed about stubbornly buying puts even though there was no sell signal. Anyway, sometimes these silly punts make me money but overall I've lost plenty on this sort of trading. I also have a few June 3550 and 3500 puts bought in the same vein which are still under water. The original June 3200 puts are not worth much now, about 10 or 15 versus a purchase price of 163, but at least I made most of that back through my stock hedge when Mqg bounced off 3000 in late May.
Since the end of May there was only one day when Cba failed to make a higher low. I actually bought puts there only for the stock to resume its upward grind so you can see that this is by no means the best signal. Nevertheless, it has been a long run with fading momentum and the Mqg chart shows that once the stock cracks the momentum can reverse rapidly. I have some June 3700 puts bought at 88 on that earlier failed signal and now have a few more at 44. Meanwhile, National Australia Bank, which I went short yesterday, is starting to confirm a breakout to the downside with a low of 2158. This is a better indicator than the one in Cba and I'm hoping the next stop will be 2100.
2.05 Mqg seems to be building on the support around 3600 so I sold out the June 3550 puts at 70 (v 100). Also bought a few more Cba June 3700 puts at 36 as the stock has had a bit of a rally within a down trend on the 60 minute chart.
2.35 Closed out my Iag short at 339 (v 347) as it made a buy signal on the 60 minute chart. Also bought a few Bxb at 574 on a blip down.
3.16 The market has had quite a strong rally, 42 points off the low for the ASX 200, although it's still down 46 points. Cba and Nab have rallied quite well - unfortunately.
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