Saturday, March 14, 2020

March 13 2020 Trades


Today I closed 4 trades and one was spx 0 DTE (zero days to expiration) trades. The SPX 0 DTE trade was based on the modified bollinger bands strategy  on 5 min candles and the other trades are based on daily candles. In this post I will try to explain the strategy used for these trades, and the same strategy that I use to share my trades on the free whatsapp group that I have which is open to anyone who would like to join.

Trade 1: SPX 0 DTE trade

In short for the modified bollinger bands strategy, I scan spx on a 5 min candles for 5 closes below or above a modified bollinger band of standard deviation of 0.382 a well as the 50 SMA. 

At 12:30 pm central time, SPX 5 min candles came up on my chart by showing 5 closes on the 5 min candles above the modified bollinger bands and 50 sma. 

So I placed the trigger above the highestof these candles and at 12:51 pm central time the trigger triggered so I entered a put credit spread  and I sent out an alert on the whatsapp group.

On these kind of trades on the 0 DTE spx trades I like to take profits at 50% and go on to the next trade so when we entered we collected 1.10 on the PCS and I set a GTC order at 0.55 with our stop loss being three times the credit received so in this case 3.3.

Around 2:42 pm SPX  went up in price and our profit target was hit and I closed the trade for a profit as you can see in the image below. 


Trade 2,3,4 SPGI, KLAC, TRV:

In short for the modified bollinger bands strategy, I scan everyday the stocks for 5 closes below or above a modified bollinger band of standard deviation of 0.382 a well as the 50 SMA. 

On March 11, SPGI, KLAC and TRV came up on my scanner by showing 5 closes on the daily candles below the modified bollinger bands and 50 sma. 

On March 12 at the open on the gap down all three tickers triggered  the trigger below the lowest of the 5 candles triggered so I entered a call credit spread and I sent out an alert on the whatsapp group. During the circuit breaker when the market stopped I had time to enter all the trade and i was waiting for the market to open again to get filled and luckily they got filled quickly. 



On these kind of trades I like to take profits at 25% and go on to the next trade and our stop loss is two times the credit received as you can from the images below how much we collected and how much we paid to exit the trade and keep the profit. Two of these trades were winners and one was a looser where my stop loss is double the credit received. SPGI hit my stop loss and I exited for a loss. 

 


Total Profit for March 13 2020 profits:

Trade 1: $55
Trade 2: $-180
Trade 3: $ 65
Trade 4: $40



Total: $-20 per contract.

Total March Trades Profit/Loss: $720 per contract.


Please note that I am sharing per contract and when I send my alert to the free whatsapp group I send 1 contract because each person has a different risk tolerance and for easy math for example if it is 30$ per contract then it is $300 per 10 contract. this way a small account user or a big account user can decide if they want to go with one or more than 1 contract. I usually trade sometimes 3 and sometimes 5 contracts but I like to share 1 in case there are people that have small accounts and want to grow it 1 contract at a time. 

Hope this blog helps you find profitable strategies and in case you want to follow my trades please join the whatsapp group