The majority of my current open positions are long-biased. If the market continues to rise, I expect many of these positions to keep working for me.
My few short-delta positions are on the verge of stopping me out for a loss. They were put on as portfolio hedges against all my long exposure. So in a way, I’m happy they haven’t worked out.
That’s the thing about hedges. I don’t really want them to work. Because that means the positions I really want to work likely just got whacked.
Ok, so my hedges aren’t making me money and my long positions are. What else can I do to lock in gains and minimize the potential for giving back a lot of open profits? [Read more…]