Option Trading Articles: Re: [ConservativeOptionStrategies] My 2010 CC Trades

031510 MP update

10 days into the "confirmed" rally we are back to positive for the year 2010. Please note that our BCSI position is slated to be exercised by week end. Also note we are not quite 50% (cash account) vested. We try to diversify amongst industries and position allocations.

G

From: Gilbert Arevalo <gilbert_arevalo@rocketmail.com>
To: ConservativeOptionStrategies@yahoogroups.com
Sent: Sat, March 13, 2010 11:01:26 AM
Subject: [ConservativeOptionStrategies] My 2010 CC Trades - Model Portfolio

031210 Model Portfolio update.

Current uptrend confirmation since 01-Mar-2010 has held up for two weeks. Currently we are 30% vested. Will look to enter 3rd position early next week. Again I've found this CC method a very simple way to grow *well-above* average annual returns over multi-year periods. We only invest during optimal trends (falt-to-up) and cash-out during corrections. The market will define for us the proper amount of exposure by properly interpreting it (not forecasting) .

Key to long-term success are "drawdown" periods which we keep to well within 20%. We went entirely into cash from 10-Sep-2008 to 17-Oct-2008, while the Nasdaq dropped 36%. A proper entry on 16-Mar-2009 allowed for excellent gains up to about Aug '09. Market chop has relegated us to underperformance, since, as we now look toward the next opportunity to propel gains further. When proper market conditions arrive (usually during bull markets/a 4-8 month rally after a significant "correction" ) using our Covered Call Candidates (w/proper stop-points) gains do compound powerfully.

I've seen CSE attempt to model their covered call approach some years back - but they had to pull the plug, since it didn't work. Ies-Invest is the only CC website (I've seen) that has modeled a successful long-term approach. They have loosened their "get-out" criteria to 15% - which has worked very well in the last few years - but with previous (more proper) tighter restraints 1 or 2 "bad" years essentially rendered the long-term gains to minor. We'll keep our stops - but still go for the juicy premium return, while demonstrating exactly how high annual returns can be averaged over the years, simply using covered calls.

G

From: Gilbert Arevalo <gilbert_arevalo@ rocketmail. com>
To: ConservativeOptionS trategies@ yahoogroups. com
Sent: Tue, March 9, 2010 7:54:40 AM
Subject: [ConservativeOption Strategies] Re: My 2010 CC Trades - Model Portfolio

With the addition of the newest CC position, our MP update is as follows:

From: Gilbert Arevalo <gilbert_arevalo@ rocketmail. com>
To: ConservativeOptionS trategies@ yahoogroups. com
Sent: Sun, March 7, 2010 3:39:22 PM
Subject: [ConservativeOption Strategies] Re: My 2010 CC Trades - Model Portfolio

After the Nasdaq follow-through (Market Direction: Green Light) on Monday, we saw mostly constructive action this past week. The Model Portfolio update shows Tuesday's CC trade holding up. Please note that the "Position Cost Basis" reflects my stop-loss target. With continued constructive market behavior look for another CC position opened early next week. In the coming weeks, we'll let the market dictate whether the positions we phase into will allow for system profitability.

Also note that I was successful in automating stock option data retrieval from the Web and will provide my Covered Call Candidates update, shortly.

G

----- Forwarded Message ----
From: Gilbert Arevalo <gilbert_arevalo@ rocketmail. com>
To: ConservativeOptionS trategies@ yahoogroups. com
Sent: Thu, January 28, 2010 6:14:44 AM
Subject: Re: [ConservativeOption Strategies] Re: My 2010 CC Trades - Model Portfolio

Still haven't figured out how to post this (drag 'n' drop) from a separate FireFox window into "rich text" reply. Works fine when when placing directly into Yahoo! email vs Yahoo! Group. Any ideas?

22-Jan-2009

The image

G

____________ _________ _________ __
From: Gilbert <gilbert_arevalo@ rocketmail. com>
To: ConservativeOptionS trategies@ yahoogroups. com
Sent: Wed, January 27, 2010 10:40:20 AM
Subject: [ConservativeOption Strategies] Re: My 2010 CC Trades

This board became very active with the 2009 rally in stocks. Now that we are in a correction, an important part of my long-term growth strategy is to avoid new buys until a new rally is confirmed. As you may have noticed I tend to invest with covered calls using growth stocks. This only works during uptrends, which I can target very well using IBD criteria. It is imperative to cash out once we reach our stop-loss price.

Just take a look at how many former leaders are fully tanking into steep price loss. Right now "cash is king" - at least for my approach.

G

--- In ConservativeOptionS trategies@ yahoogroups. com, "Gilbert" <gilbert_arevalo@ ...> wrote:
>
> Thursday, January 21, 2010
>
> 11:00 am EST
>
> Bought (2) NANO Feb 12.5 (NTQBV) call option contracts at $0.50 (ask).
>
> Sold 200 shares of NANO (Nanometrics, Inc.) at $11.02 (bid).
>
> G
>
> --- In ConservativeOptionS trategies@ yahoogroups. com, "Gilbert" gilbert_arevalo@ wrote:
> >
> > Wednesday, January 20, 2010
> >
> > 9:30 am EST
> >
> > Bought (1) STEC Jan 19 (SQRAT) call option contract at $0.70 (ask).
> >
> > Sold 100 shares of STEC (STEC, Inc.) at $17.83 (bid).
> >
> > G
> >
> > --- In ConservativeOptionS trategies@ yahoogroups. com, "Gilbert" <gilbert_arevalo@> wrote:
> > >
> > > Tuesday, January 19, 2010
> > >
> > > 10:31 am EST
> > >
> > > Bought 100 shares of STEC (STEC, Inc.) at $19.32 (ask).
> > >
> > > Sold (1) STEC Feb 19 (SQRBT) call option contract at $1.45 (bid).
> > >
> > > Stop Loss: $17.87
> > >
> > > G
> > >
> > > --- In ConservativeOptionS trategies@ yahoogroups. com, Gilbert Arevalo <gilbert_arevalo@> wrote:
> > > >
> > > > Model Portfolio (15-Jan-2009) update:
> > > >
> > > >
> > > >
> > > > G
> > > >
> > > >
> > > >
> > > >
> > > > ____________ _________ _________ __
> > > > From: Gilbert <gilbert_arevalo@>
> > > > To: ConservativeOptionS trategies@ yahoogroups. com
> > > > Sent: Tue, January 12, 2010 6:40:39 PM
> > > > Subject: [ConservativeOption Strategies] Re: My 2010 CC Trades
> > > >
> > > >
> > > > Here is an example today of an "unwind":
> > > >
> > > > Tuesday, January 12, 2010
> > > >
> > > > 1:20 pm EST
> > > >
> > > > Bought (1) ASIA Jan 30 (EUJAF) call option contract at $0.25 (ask).
> > > >
> > > > Sold 100 shares of ASIA (AsiaInfo Holdings, Inc.) at $28.60 (bid).
> > > >
> > > > - Model Portfolio update:
> > > >
> > > >
> > > >
> > > >
> > > > G
> > > >
> > > > --- In ConservativeOptionS trategies@ yahoogroups. com, Gilbert Arevalo <gilbert_arevalo@ ...> wrote:
> > > > >
> > > > > With the start of 2010, my $20,000 Model Portfolio update is as follows:
> > > > >
> > > > > http://img710. imageshack. us/img710/ 6339/prompis. jpg
> > > > >
> > > > > (test)
> > > > >
> > > > >
> > > > > http://yfrog. com/jqprompisj
> > > > >
> > > > > Spreadsheet of trades and graph updates will follow.
> > > > >
> > > > > G
> > > > >
> > > > >
> > > > > ____________ _________ _________ __
> > > > > From: Gilbert Arevalo gilbert_arevalo@ ...
> > > > > To: ConservativeOptionS trategies@ yahoogroups. com
> > > > > Sent: Mon, January 11, 2010 11:40:33 AM
> > > > > Subject: Re: [ConservativeOption Strategies] Re: My 2010 CC Trades
> > > > >
> > > > >
> > > > > Monday, January 11, 2010
> > > > >
> > > > > 2:11 pm EST
> > > > >
> > > > > Bought 100 shares of ASIA (AsiaInfo Holdings, Inc.) at $29.05 (ask).
> > > > >
> > > > > Sold (1) ASIA Jan 30 (EUJAF) call option contract at $0.45 (bid).
> > > > >
> > > > > Stop Loss: $28.45
> > > > >
> > > > > G
> > > > >
> > > > >
> > > > >
> > > > >
> > > > > ____________ _________ _________ __
> > > > > From: Gilbert <gilbert_arevalo@ rocketmail. com>
> > > > > To: ConservativeOptionS trategies@ yahoogroups. com
> > > > > Sent: Thu, January 7, 2010 12:38:28 PM
> > > > > Subject: [ConservativeOption Strategies] Re: My 2010 CC Trades
> > > > >
> > > > >
> > > > > Thursday, January 7, 2010
> > > > >
> > > > > 3:27 pm EST
> > > > >
> > > > > Bought 100 shares of VIT (VanceInfo Technologies, Inc.) at $20.21 (ask).
> > > > >
> > > > > Sold (1) VIT Jan 20 (VITAD) call option contract at $0.75 (bid).
> > > > >
> > > > > G
> > > > >
> > > > > --- In ConservativeOptionS trategies@ yahoogroups. com, "Gilbert" <gilbert_arevalo@ ...> wrote:
> > > > > >
> > > > > > Wednesday, January 6, 2010
> > > > > >
> > > > > > 9:45 am EST
> > > > > >
> > > > > > Bought 200 shares of NANO (Nanometrics, Inc.) at $11.38 (ask).
> > > > > >
> > > > > > Sold (1) NANO Jan 12.5 (NTQAV) call option contract at $0.15 (bid).
> > > > > >
> > > > > > Stop Loss: $11.23
> > > > > >
> > > > > > Sold (1) NANO Feb 12.5 (NTQBV) call option contract at $0.75 (bid).
> > > > > >
> > > > > > Stop Loss: $10.63
> > > > > >
> > > > > > G
> > > > > >
> > > > >
> > > >
> > >
> >
>

__._,_.___

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