Options Trading Update 4/17/17

Hello and welcome back! I know it has been a minute since I have posted an update and I apologize for that. I guess I didn't feel there was anything noteworthy to discuss because I have just been mechanical on taking off positions when they around 25% net profit. Below I will post my P/L for you to see and explain some adjustments I have been making to my account, as well as some learning experiences.

One of the big learning experiences is watching the decay (really the lack there of) on underlyings that are coming into earnings. The two underlyings that had earning before expiration of the current cycle were CSX and NFLX. I got out of my IC on CSX last week at 25% of net profit but it had just started to decay last week. I actually rolled this position out to May with some wider strikes. NFLX was my other position, which still hasn't hit a profit target yet and is reporting earnings tonight. I am going to hold this position through earnings because I think the IV crush will be beneficial and I don't think I am in a whole lot of trouble with this position. As seen below I am short the $137 put and long the $136. With the underlying right around $146.85 as I write this right now I think I can exit this position with a nice profit tomorrow. I would have expected to be able to exit prior to today due to theta decay, but IV in the front month appears to be increasing into earnings. I will probably stay away from NFLX in the future due to liquidity in their options.

I instituted a new rule for myself and that is to leave my ICs alone. Everytime I adjust my ICs I get tested on the other side. So I believe it is best just to leave them alone. I have made it out pretty much unscathed from these adjustments, but I would have kept my trade costs lower and probably my stress level lower after the adjustments when it tests the other side. My other adjustment is to make less trades but make them a little larger with wider wings on my ICs. I am going to shoot for $2 wide now. The other benefit to doing this other than allowing me to have a greater POP is that my theta numbers are higher. Below is my current P/L and I am hoping to start to see this turn around in my favor here soon but we will keep a watch on it.

As always thank you for your time. I always appreciate getting feedback, if you have any suggestions please let me know. Also, if there is anything you would like me to go more in depth with when I post about my portfolio let me know so that I can cater to you my fellow readers.