Year-end is almost upon us; here are the Couch Potato 2014 portfolio results.
With 2014 drawing to a close (a rather volatile one I might add), I wanted to publish the portfolio summary of Couch Potato trades this year. Because our trades have been a combination of weekly and monthly plays, the summaries are posted separately by trade strategy.
Weekly SPX 10 point Wide Credit Spread
This play was traded early in the year, and put on the back burner in May when too much day to day volatility was having a negative impact on the overall results. Basically, the trade ended up at just about breakeven on a cumulative basis for the time it was in our Trade Plan. Not stellar results, but any gain is better than a loss. Cumulative results are below:
- Weeks Traded: 14
- Gain/Loss Ratio: 9 Gains, 5 Losses
- Average gain per week over 14 weeks: +.7%
Weekly SPX 10 Point Wide Iron Condor
This trade was incorporated into the trade plan after the weekly credit spread was removed.
Cumulative results are below:
- Weeks Traded: 21
- Gain/Loss Ratio: 16 Gains, 5 Losses
- Average gain per week over 21 weeks: + 3.0%
SPY Monthly Iron Condor
The 5 point wide SPY Iron Condor was traded each month since April 2014. Cumulative results are below:
- Months Traded: 8
- Gain/Loss Ratio: 7 Gains, 1 Loss
- Average gain per month over 8 months: + 7.1%
RUT Monthly Iron Butterfly
The 50 point wide Iron Butterfly was entered into the Trade Plan the last quarter of this year, so only has 3 months of statistics. Unfortunately for the cumulative results, the trade entered for November was caught in a large opening gap that caused RUT to blow by our stop loss exit order. Cumulative results are below:
- Months Traded: 3
- Gain/Loss Ratio: 2 Gains, 1 Loss
- Average Gain(Loss) per month over 3 months: (1.9%).
Plans for 2015
Looking ahead to the 2015 Trade Plan, we will continue with the RUT and SPY monthly trades, as well as the weekly SPX Iron Condor when entry is within reason for this short term trade. We are also planning to put a new trade into the "Test Kitchen"; an unbalanced Iron Butterfly on SPX opened 16 - 14 days to expiration. The basic guidelines for this new trade were published on December 4, and can be found at this link: Link to Articles
For those unfamiliar with the guidelines for any of the Couch Potato trade strategies, the dates they were published are listed below. The guidelines can be found at the same link posted above.
- RUT Monthly Iron Butterfly: October 22, 2014
- SPY Monthly Iron Condor: April 6, 20124
- SPX Weekly Iron Condor: August 7, 2014
If there are particular questions on any of these trade strategies and/or the annualized results, please send me an email.
As always, stay keen on your risk management and trade carefully,