As mentioned, with options, I want to spend the least amount of time in them if I thin there's a consolidation or pullback, I'd rather open a new position once that is over as there is the time decay component in options that a pure long position doesn't have. That's why the UNG equity long position will stay open, this doesn't change my longer term bullish view of UNG.
This is the UNG position opened Monday in the options model portfolio-September $19 Calls with a nearly 35% gain today.
UNG 1 min is close to in line, but that's not good enough for me to believe more upside is ahead in the VERY near future.
The 2 min neg.
3 min neg.
5 min neg.
And even the 15 min with a very bullish looking longer term positive leading divergence is showing an intraday negative divergence.
I'll look for a pullback to consider starting a new options position, you saw the chart this morning of the volatility in the market, thus far hit and run tactics with options have worked well, longer term positions in a market like this doesn't seem to be the right approach with options in my opinion.
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