I said in yesterday’s Income Masters Live Trading Session that I would be putting on a S&P 500 (SPX) hedge ahead of today’s Federal Reserve announcement. But I have decided against it due to the high cost. Instead, I have chosen to hedge most of our individual positions. Given that we tend to trade high-beta…
Our S&P 500 (SPX) hedges are on track to expire worthless. Remember that this was the goal for these purely defensive positions. However, we did manage to reduce the cost of our standalone put hedge when the market sold off last week following the Federal Reserve announcement. I will recommend new hedges the next time…
Stocks are dropping sharply following the Federal Reserve’s June monetary policy decision. While it held rates near zero, Fed officials projected two possible rate hikes by the end of 2023. Our S&P 500 (SPX) put is profitable, so I am recommending we roll it to a lower strike. This will reduce the cost of our…
I am taking a more selective approach to index hedging in an effort to reduce the cost and increase the effectiveness. Rather than remaining hedged at all times, I plan to put on hedges in anticipation of events that may disrupt the market. I am recommending new hedges today — a S&P 500 (SPX) put…
Our Chewy (CHWY) shares are on track to be called away, which will result in a net debit on the position. I will recommend a put to sell after the company announces earnings next week. I am recommending we roll our SPDR S&P Regional Banking ETF (KRE) put out one week. And let’s book profits…
Our most recent S&P 500 (SPX) hedges are on track to expire worthless. I will recommend new defensive positions soon. Current Index Price: 4,219.97 SPX Jun Week One (6/4) 3850 Put Net Debit: $32.80 Action: Watch put expire worthless SPX Jun Week One (6/4) 3850/3800 Put Spread Cash in Hand: $0.45 Action: Watch spread expire…
Our most recent S&P 500 (SPX) hedges — the SPX May Monthly (5/21) 3650 Put and the SPX May Monthly (5/21) 3650/3600 Put Spread — are on track to expire worthless, so I am recommending new defensive positions today. The new hedges are two weeks out as opposed to June monthly positions. Given current market…
Our most recent S&P 500 (SPX) hedges — the SPX Apr Monthly (4/16) 3350 Put and the SPX Apr Monthly (4/16) 3350/3250 Put Spread — are on track to expire worthless, so I am recommending new defensive positions today. We will continue to track them as ongoing positions, but you can initiate one of these…
Our most recent S&P 500 (SPX) hedges — the SPX Mar Monthly (3/19) 3100 Put and the SPX Mar Monthly (3/19) 3100/3050 Put Spread — are on track to expire worthless tomorrow, so I am recommending new defensive positions today. We will continue to track them as ongoing positions, but you can initiate one of…
I am recommending we roll our S&P 500 (SPX) hedges to lower strikes to pocket cash while keeping our hedges in place. If you are not currently in a hedged position and want to initiate one today, you can do so. Just be aware that we are tracking these as ongoing positions. If you are…
