Our Orange Turd destroys anything he touches. What do you expect from a person who bankrupts a casino! And now he is destroying the US economy, possibly the world’s economy (if the US falls into a recession, the world may follow). It is now very likely that the US is heading to a recession.

Trump destroyed the US economy in his first term. He inherited a booming economy from Obama and due to his mismanagement during Covid sent it to recession. Biden fixed it. Trump inherited  economy that the entire world envied. It was not perfect. But it was heading in the right direction. Turd destroyed it.

And so the markets are crashing because Trump, in his stupidity and narcissism started an illegal war, MAGA Republicans approved it by doing nothing, some even suddenly approving it – where are the Republican claims about ending the “forever wars?” I guess, starting a new forever war is suddenly OK.

And the markets are reacting to the entire Iran war domino effect:

The war impacted everything – surging oil prices, rising inflation, rising bonds interest rates, etc. Add all that to the problems we already had such as losing labor market, unemployment increasing, tightening credit, and we are heading towards recession. All that to distract from Epstein files!

 

We had an open trade since February 20th. We had to roll that trade multiple times to protect it. We had a call spread left out of that trade and that call spread was in the money. And since we saw the market actually toping and rolling over, we decided to roll it further away in time. Later, we added puts. Today, that trade will most likely expire worthless despite the sharp sell off.

Here are the multiple rolls we had to do:

The original trade (ID #032) was rolled a few times until the last trade (ID #036) that is set to expire today. It was a wild ride but very profitable. We still have a second trade, that is still safely out of the money but if this selling continues, we will be in trouble.

We will re-assess our positions on Monday but it is likely that we will stay in cash to keep dry powder for adjustments and recovery or adding additional new positions.