Nervously trading AMZN. Getting a bit longer AAPL, but hedging with VXX

Greetings All.

One of my New Year resolutions is to trade less, a LOT less. But I have failed miserably thus far even going so far as to trade 33X yesterday. OK, I know Fidelity (my platform) thinks this is just great, but I think I trade much worse for it. So I am writing them down, and limiting them to just 10/day or 50/week. We’ll see how that goes.

Today I have taken off my last long call in AMZN, the Feb16 200 and made a good bit on it. However, I did not take off the Feb16 265 call that I am short. I got $10 for it when I sold it and now it is trading about $15. I’m nervous that AMZN could spike after earnings so I spent about $5 on a Feb16 280/300 bull call spread as a bit of insurance. This required 3 trades. I still own a Feb16 240 put and a Apr 275/255 bear put spread. If AMZN tanks after earnings, I’ll do pretty well. If it cranks up, well, then not so much.

I broke another rule today. I bought some long AAPL calls. I put on a couple of calendar spreads BTO the March 450 calls and STO the Feb8 465 calls for about $14.6/each. I am short a 450 call for this week and next and this helps provide a bit of protection if AAPL starts to take off, which I think it could. All it will take is some sort of announcement. Today’s move may just be announcement of a higher storage iPad. This is setting up for some new enterprise announcement. Health care?

Finally, bought a bit of insurance. Did a buy/write on VXX buying the underlying for about $23 and selling the Feb16 25 call for $0.50. This is a really low level in volatility that just can’t be sustained.