Non Farm Payrolls came in AT expectations and market rallied.  The CPO is currently up 2% as we near the end of the first month in trading.  We're playing some catch-up with the market having started mid April, but so far the fund is performing as expected.

In the image below we see the market rally off of the news on Friday (5/8/2015)at around 8:30 AM with the unemployment report.  Our long positions had gotten in the day before, in addition the strategies exited a short position the night before.

So far the breakdown of the accounts are as follows:

Though we are up 1% in the Short Only account, this account is largely about hedging and so it will typically fluctuate regularly depending on the market but we always have expectations that the hedging strategy will make money in most years.  The fund is divided equally among the three accounts above. 

The market in general over the last several weeks as been flip flopping and the short hedging strategy was able to capture some gains on the downside and then exit when markets rallied.

Account statements will go out this week electronically to all participants. If you would like paper statements, please email Zaremba@trizen.com and we will get those to you as well. 

Closed Out Positions 

Open Positions:

Buy 1 S&P September Put 2080 Strike @ 75: Currently @ 62 or: -$650.00 

Strategy is flip-flopping between gains an losses at moment as market over last couple months has been bracketed between 2120 and 2050, and the strike is currently in the middle.

Note: When trading options on e-Mini S&P500 Futures, each point represents $50.00.  So, if we bought at a price of 79, and the market is 77.5, we have lost 1.5 points or $50x1.5 = $75 for the week.  

Lets review our previous statement:

"Not much has changed, even with a 300 point drop in the DOW.  The markets are neutral at the moment and a HOLD is still recommended.  The Commitment of Traders is currently negative, but just barely and the market is simply trying to find direction; the markets will likely float higher until a catalyst is found to give the market a path of least resistance as most investors are on the buy side historically."

As you can see from the above charts the market is really range bound and has been for some time now.  With a 3% range (roughly 60 points) the market is looking for some leadership to get a good breakout.   We still have a HOLD recommended for the macro investor as the markets remain neutral.

If you have any questions or if your advisor has any questions, please text me at 704-999-7844 or email me.  Some emails are blocking my responses so if I don't respond right away please try again stating you haven't received anything and I can try another email.