By the way, our two LTP plays from late yesterday were:
Gold/Max – I sure wouldn't be shorting gold. While it's off a nice run , it can go against you by quite a lot – see last June in fact. Perhaps at the $1,300 line you can play for a pullback but I'd keep very tight stops above. We've already tested $1,300 so $1,260 has already proven to be no real resistance and I'd argue that $1,200 is the real base line and the move down to $1,050 (from $1,800) was the overshoot.
In a run from $400 to $1,800 ($1,200) pullbacks of $250 (weak) and $500 (strong) are to be expected and that takes you to $1,300 and then $250 more is $1,050 so back over $1,300 and we could have some real upside fireworks on gold.
That does make ABX a bit silly down at $16, doesn't it? In the LTP we have the Jan $12/20 bull call spread at $3.15 (25) and I say we buy back the short Jan $20s (0.62) and leave the $12s but add 50 2019 $13s at $4.75 ($23,750) and sell 50 2019 $20s for $1.80 ($9,000) and sell 25 2019 $15 puts for $2 ($5,000) for net $9,750 on the $35,000 spread with $25,250 (258%) upside potential at $20 not including the fact that we're already up a few thousand on the original spread.
Also:
CINR/Advill – They are nice but, as noted, no options so no interest from me. DIN is in a tricky space given the declining traffic issues but mostly IHOP and AppleBees is pretty solid and the 50% sell-off is a bit silly and they do have options so I like selling the Dec $45 puts for $4.30, which nets you in at $40.70 if they go lower or pays way more than the $3.88 dividend if they don't.
