Trade Closed:
📍 Thursday, September 4, 2025 – 9:48 AM ET
📉 Final Result: –$4,144 (-18.7%)
🧾 Position Recap
- Entry Date: Tuesday, September 2, 2025 – 3:05 PM ET
- Underlying: SPX @ 6396
- Strikes: 6330 Put / 6450 Call
- Short Expiry: Sep 4
- Long Expiry: Sep 9
- Net Debit (6 lots): 36.85 × 100 × 6 = $22,110
- Exit Credit: 30.00 × 100 × 6 = $18,000
- Realized Loss: –$4,110
(Rounded to –$4,144 after commissions/slippage)
❌ Exit Trigger
The trade was automatically closed due to the delta rule being hit (one of the short legs exceeded ±0.70 delta). This is a key risk management mechanism I have in place to prevent bigger damage.
📉 Emotions vs Logic
Yes, this is the biggest dollar loss in the past 53 days.
But no, it’s not the end of the road. Here’s why:
- This is 1 trade out of potentially hundreds over the next 2–3 years.
- My backtests show September has been favorable overall — but even the best months have losing trades.
- The law of large numbers is what matters.
- I will not let short-term pain sabotage long-term strategy.
🧠 Final Thoughts
“Losses are tuition paid to the markets.“
— Staying in the game is more important than winning every hand.
I knew going into September that I’d be risking overnight exposure and committing to my 2-entry-per-week rule (Mon & Tues). This loss doesn’t change that.
Discipline > Emotion
Long-Term Process > Short-Term Outcome
⚠️ Disclaimer
The information presented in this blog post is for educational and informational purposes only and is not intended as financial or investment advice. I am not a licensed financial advisor. All trading strategies discussed reflect my personal experience and are not recommendations to buy or sell any security or derivative.
Trading financial instruments such as options, futures, or stocks involves significant risk and may not be suitable for all investors. You should conduct your own research, consider your financial situation, and consult with a licensed financial advisor before making any investment decisions.
Past performance is not indicative of future results. Use of this information is at your own risk.