Trading Exercise Analysis
The questions in this assignment pertain to the trading exercise.
- What option strategies/positions did you select and why?
- What stock(s) did you select and why?
- Did your strategies generally meet the objectives you had intended or expected during the time of the exercise? Explain.
- Was trade execution an issue in your situation? (Were the options liquid? Was there a big spread between the bid price and the ask price?)
- How much of an impact were commissions in your strategy?
- What was your final realized gain or loss? Explain what happened as if you managed this account for someone else and were reporting on the results.
- What would you say the three most important aspects of selecting and executing an option strategy are?
- If you were to restart the trading exercise today, what would you do differently?