OEX OPTION TRADING LEARNING (Report #12) trades

BRINGING MY TRAINING EXPERIMENTAL TRADING BALANCES FORWARD, SO THEY ARE EASIER TO WRITE INTO THE BLOG --- These balances are brought forward from REPORT #6, found below in the BLOG.

VIRTUAL ACCOUNT with Broker Option House

Starting Balance: $5000
March 22nd, 2010 brought forward: $3629 -27%
March 5th; MAY PUT 530 (-520) $3109 -37% The loss percentage based on the starting $5000 account size.
____________________________________

QUICKIE TRADES - ONE TO THREE DAYS

PAPER TRADING short term trades

Starting Balance: $5000
March 22nd., 2010 $5845
March 19th 530 PUT (-$400 ) $5445 + 8% Made the stupid mistake of going counter trend, with a new system trial that worked pretty good. It worked this time too, but because it was a quicki trade, 4 hours later it reversed and caught me cold. Then I dithered about taking the loss for a couple of days, wondering what was going on? Big mistake! When you are wrong, take the loss immediately ( lesson of the day)
March 24th, 2010 April 540 CALL +190, account balance is now $5635 ( + 12%)
2 contracts April 540 CALLS, (-$300) - account balance (+6%) or $5335


__________________________________

CREDIT SPREAD TRADING ( Vertical Spreads )

Starting Balance: $5000 VERTICAL CREDIT SPREADS
WEEKLY OEX OPTION EXPIRATION TRADING - March 22 to 26 TEST PAPER TRADING TRIALS
Vertical Credit Spread
10 contracts - Sell March 530 PUTS out-the-money at: 1000 x .50 = +$500 Tuesday
10 contracts - Buy March 525 PUTS out-the-money at: 1000 x .35 = - $350 Friday
------------------------------- Profit = $150 ---- Expired on Friday
Balance: $5150 (+ 3%)
_________________________________________

10 SELL April PUT 530 @ .45cents = + $450 credit ( Expiration Thursday Apr. 1st )
10 BUY April Put 525 @ .25cents = - $250 debit (started Monday, Mar.29th )
Net CREDIT of +$200. Expired worthless so keep + $200 ( Easter weekend )
Spread trading balance: $5350 ( account gain + 7% ) ( weekly expiration trade )
___________________________________


CHANNEL CREDIT SPREADS called a Condor BRACKETING the expected 4 day price index action. Using the OEX WEEKLY EXPIRATION option chain prices.
10 contracts - Sell Mar CALL 545 out-the-money at: 1000 x .15 = + $150
10 contracts - Buy Mar CALL 550 out-the-money at: 1000 x .10 = - $100
-----------------CREDIT = + $50 ---- entered Tuesday, expired Friday

10 contracts - Sell Mar PUTS 530 out-the-money at: 1000 x .75 = + $750
10 contracts - Buy Mar PUTS 525 out-the-money at: 1000 x .35 = - $350
-------------CREDIT = +$400 ---- entered Tuesday expired next day Friday
NET GAIN ON EXPIRATION = +$400
Account Balance: +$5600 ( + 12% )
_____________________________________________________________________
Special note: This is a paper trading learning test and actual fills may have been different. The option chain I used was at BIG CHARTS. Nor am I sure of what the cost of commissions are on this? Also an enquiry to OPTION HOUSE found they did not do OEX option weekly expirations. I understand Options Xpress do them? I'm not at all clear on using limit orders in credit spreads for CONDORS, or CHANNEL SPREADING, or the commission setup to this point of my learning curve.
____________________________________________