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April 2019 financial freedom report

April 2019 is in the books. In this month I met the goal as planned. There were a few changes I made which modified the entire plan:
 

1) I decided to combine my trading accounts into one. I closed my TD Ameritrade account (TD) and transferred funds to my Tasty Works account (TW).
2) This transfer increased money in my TW account and adjust the goal (see below).

 
The Original Plan:
 

report
 

Adjusted Plan:
 

report
 

April 2019 results:
 

How did I do in April 2019?

I did well:

  • The starting value of the account was as planned.
  • However, I violated number of contracts. There were occasions were I traded more contracts than what the plan allowed. I “approved” this to myself saying that I traded more contracts to catch up with short trading weeks available to me. The plan was to trade all four weeks in April but I only could trade three weeks. Although this didn’t backfire (unlike the breaking of the rules at the beginning of May 2019) I made money, not lost money.
  • We exceeded the premium collected over the plan.
  • The deposits were made as planned and actually exceeded the plan.
  • The ending value exceeded the plan.
     

Here are the results:

 

report
 

Here is a reminder of my strategy and way how to trade (simplified):
 

1) open a new trade on Tuesday morning only
2) open with the same week Friday expiration (3 DTE)
3) collect min. 0.30 credit
4) no wider than $5 per trade
5) multiple contracts based on BP
6) let it expire
7) wings at 5 delta or near as long as credit is 0.30
8 ) close one half of the position if the loss reaches $1.00
9) close everything if the loss reaches $1.50
10) if the market swoons through $1.00 and reaches $1.50 or even swings further, close everything.

with 5 delta, (2 SD) the swings still may happen (you never know what crazy people would do on Wall Street) but the breach is very rare. It still may happen, everything may happen, but it should happen occasionally, when panic hits…

 
Previous posts related to this plan:
 

May 2019 financial freedom report – June 1, 2019
My 5-year Plan to Freedom Update – May 22, 2019
Fed up with my own lack of discipline, putting down a plan to reach FI – April 17, 2019
 
 





6 responses to “April 2019 financial freedom report”

  1. Sean Green says:

    Good morning, Martin.

    I was wondering if there is any chance that you could post trades on FB page and follow them through to show how the strategy is employed?

    • Martin says:

      Sean,

      I am posting those trades on the Facebook page (as it is faster and easier to upload pictures and charts than uploading it to the blog. You can follow the trades here: https://www.facebook.com/zzcapital14/

      You can also subscribe to free email or text message alert on the Facebook page so whenever I open a new trade you get an alert, or you can just watch it when the FB sends you a notification but sometimes, there are delays. I also post my comments and adjustments.

      Here you can also track the trades in my spreadsheet: https://tinyurl.com/yxruu3e9

      Just go to a “TW” account section and those trades are posted in that section. When the trade is closed, it is then added to the very bottom page of that spreadsheet for record.

  2. Sean Green says:

    Good morning, Martin

    Is there any chance that you could post few trades using this methodology and follow them through to show me how the strategy is employed?

    Many thanks

  3. Sean Green says:

    Good morning, Martin

    Is there any chance that you could post few trades using this methodology and follow them through to show me how the strategy is employed?

  4. Sean Green says:

    Hi

    I was wondering what was the result of studies on historical data using the strategy that you have now adopted?

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