DISPOSITION FOR FRIDAYâ€™S JANUARY 2015 OPEN POSITIONS.>
MCM JANUARY 2015 PORTFOLIO # 1:
After the Swiss unexpected move with their currency on Thursday, it will
be the call side of our iron butterfly that we will have to close out tomorrow.
At least it should be the only action we should need to take in this portfolio tomorrow.
GDX - Unless we get a pullback on Gold and GDX will be looking to close the
call side of our iron butterfly in GDX.
If we get a pullback in GDX you can close out the GDX call spread on that pullback or wait until later in the day and hope
for a pullback and close out the GDX 20/21 Call spread at that time.
If by chance we get a pullback close to $20 on the GDX will will look to close whichever side that looks to close in the
money. At this time it definitely looks like the Swiss action today will cause us to close out the GDX call side.
Be sure to close out this position at the close of the market Friday, if you do not you might have stock called away that you do not own.
Unless some unforeseen event should happen to the upside of this market tomorrow,
all of the other open positions in Portfolio #1 should expire worthless.
Positions that should expire worthless tomorrow are all on
the call spread side in:
DDD, FCX, TWTR, X & T.
These positions above are anywhere from $1.24 - $6.00 out of the money.
In addition , if we have to close out the GDX call side on the spread, than of course the GDX put side will expire worthless.
These positions above are anywhere from $3.24 - $11.36 out of the money.
MCM JANUARY 2015 PORTFOLIO # 2:
The Swiss Bank action today will probably forxce us to close out multiple positions tomorrow before the close.
They are as follows:
BABA - unless BABA bounces and closes above 101 we will have to close out the BABA 101/100 put spread before the close.
AAPL - The AAPL 110/109 needs some upside action to close above $110 or we will have to close out the AAPL Put spread before the close.
QCOM - The QCOM 74/71.5 put spread will need to be closed tomorrow , if we don';t get a spike up to $74 tomorrow.
XOM - The XOM put spread is a little over $1.00 in the money, anything under a $90 price on the stock tomorrow , means we need to
close the XOM short $90. There iw not reason to close the spread if the $87.5 long put has no value.
GLD - GLD just told off and the GLD 119 call is in the money by $1.50 plus, we need a correction or pullback of GLD to under $119
or we will have to close out the 119 call before the close tomorrow as well. If GLD should close about $121 we will need to close out the spread to minimize the
loss as the long $121 would have some value.
, However if GDL is under $121 we just need to close out the short side.
A close below $119 ( not likely ) you would need to do nothing.
If we get a gap opening on Friday in the morning, you might consider closing at that point, as early rallies have faded lately.
If you choice to wait, you can close any of these positions that look to close in the money on our short side, any time during the day, just
be sure you leave no short option in the money open at the close.
CAVEAT:Any option in the money, needs to be closed, even if only $0.01 in the money or you will be exercised or assigned stock.
YHOO - The YHOO $48 call will probably need to be closed out if YHOO does not bounce tomorrow, if YHOO
continues to sell off, we might have to close the entire put spread if YHOO is uner $46.50.
Positions that should expire worthless tomorrow that are call spreads are in: QCOM, WYNN, XOM, AAPL
Positions that should expire worthless tomorrow that are put spreads are in: DIS.
These positions above are anywhere from $1.20 - $13.00 out of the money.
MCM DECEMBER 2014 PORTFOLIO # 3:
We will need to watch and potentially have to close out (2) positions.
Those positions are :
JCP - We will probably need to close out the JCP 7/8 call spread if JCP looks to close above $8.
However, if JCP shoudl look to close below $8, we will only need to close out the $7 short call as the $8 call will have no
value and just transaction fees.
CLF - We will also close the CLF $8 Call if Clf closes above $8 tomorrow. There will be no reason to close
the $9 call unless CLF climbs over $9 tomorrow. At the point you should close out the CLF Jan 8/9 call spread before the close tomorrow.
Remember, if we get a sell off in JCP or CLF and they drop under the strike , we need do nothing ( however I am not counting on that ).
If you are going to be away from your computer tomorrow you might put in orders for MARKET ON CLOSE.
Additionally, if you do not want to wait to the close and we get a flat to up opening you might want to close
out either or both of these positions ( JCP & CLF ) at that time, otherwise you will need to close them during
the day if they will look to close about their short strikes.
Positions that should expire worthless tomorrow which are all
call spreads are spreads in: NBR, VZ, P & AKS.
These positions are anywhere from $1.00 - $3.00 - out of the money.
IMPORTANT CAVEAT WARNING:
If any issue should look to close in the money, be sure to close out that position before the close of
the market on Friday, if you do not and that option is even $0.01 in the money, you will be Either
have stock called away that you do not have ( short a call position) or get assigned stock
hat you may not want (short put position).
The MCM FEBRUARY 2015 watch list and Portfolio will begin being posted after the close of the market
on Friday, right after the January options come off of the board on this expiration Friday.