Tuesday, December 12, 2006

Taking a New Course with this Site

I'm going to work on doing something different with this blog from here on. I plan to start posting daily. Even if it is short (and most likely, in many cases, it will be), I will post SOMETHING every day. I'd like your help, dear readers, in determining the things to talk about in this space. If you want more details about my portfolio or its construction, let me know. If you want different topics than what I have typically written about, let me know. If you would like longer and deeper posts, say that. Tell me what you would like to read. I write this for you as much as for myself. I may even be able to share a bit about my new startup.

Anyway, I find myself fairly successful with regard to today's goals. I've got some money in motion that will top of my investment with my real estate partnership. Each of us was to put $10,000 into this group for an equal share of the business. I didn't have $10,000 up front so I've been on a $750/month payment schedule. However, for tax reasons, I want to get all of the funds in before the end of the year. This will also allow me to save money in my emergency account more quickly, as I won't keep draining it for various reasons (including the monthly payment into the RE business).

So taking a look at the grain futures action, I see wheat is down again. Bad, bad wheat. I decided to put on 2 call spreads on May wheat along with an outright March 550 call. From what I have seen, wheat looks like it still has some room to run.

Now, I know some of you are thinking that I'm fuggin' nuts to continue with the commodities trading. And you could be right. But considering that I save about 28% of my gross income, once you consider my 401(k) and monthly savings into an HSBC Online Savings account, I feel that I can take these kinds of risks without doing too much damage. I've worked to automate as much of my financial life as possible. Factoring in the real estate, which has grown slowly but more profitably than not, I think there is room to pursue more aggressive strategies for realizing returns. Obviously, this is not for everyone. I still have some learning to do, and I understand that. But I don't see this, even if you call it "gambling", as being completely reckless.

Okay, my pain medication is starting to kick in and its getting harder to think, nevermind type. So until next time...which will be tomorrow. :)



jim said...

"But considering that I say about 28% of my gross income" - you mean save instead of say right?

I look forward to reading more about the commodities stuff since I know little about it.

Khyron said...


See, that's what happens when you blog under the influence of Demerol.

Good catch Jim.

As for the commodities, I hope you learn from my experiences. Hopefully, once you start, it won't be quite as...shall we say...painful.

jim said...


hahaha, commodities are exciting though!

Khyron said...

Exciting...painful...all different ways of describing the same experience. Even though I would hardly use the word "exciting" to describe watching money evaporate before your eyes, or watching options degrade to $0 because the January heating oil contract couldn't move 1 more bloody cent. But that's just me. :)

In fact, go take a look at
that contract now
. My calls had a strike of 1.84. See how we are not even close to 1.84 on the January contract? A whole damn $0.02 so far today!


jim said...

It's 3pm and it's only +0.0116 :)

so it goes sometimes