The "daily Call" From Option Alpha: Options Trading | Stock Options | Stock Trading | Trading Online

Hey everyone. This is Kirk here again at optionalpha.com and welcome back to the daily call. Today, we are going to talk about how you can increase long exposure of your portfolio very quickly. The first question here is always, “If you're needing long exposure, how much?” When I look at my portfolio and I Beta weight it to a market index like the S&P or the DOW or whatever you want to use for Beta weighting, the question I always ask is “Am I outside of my breakeven points for expiration?” That’s the main thing I’m really focused on, is “How unbalanced am I at this exact moment?” If the market is rallying, but I'm not outside of my breakeven points, okay, maybe I'll start doing some things that slowly start to improve the balance of my portfolio, but I don’t need to trip over myself and I don’t need to overextend or over-adjust my portfolio for the sake of balance. I’m fairly balanced. It’s always going to be a moving target. Balance is never something that’s absolutely emphatically perfect because the m