Good morning!
Best play with RIMM is to sell our calls into the rally and wait for a pullback but better make sure one is coming first!
Rolled RIMM $110 calls I own to Nov $115s for $1 to prevent my loss but keep a cover. XXX
Bought out putter for $3.25, rolled my puts up to $110 puts for $3.55 for when the Golman sheep get tired of buying. XXX
Wow, I so lucked out by going to 2/3 covered on Goog last night!
Naked sold RIMM $110s at $4.50 as a mo (or loss of mo play)
HMY – all over the place but they went down on what seems to me to be a very correctable problem in their mine so I still endorse the play at .35 (Nov $12.50s) but we’re only trying to get to .50.
BXP is a DD if you are into the speculative puts. VNO too at $2.25 (Nov $110 puts). XXX
This is why you MUST scale into positions. The fact that we start buying puts motivates people to try to shake us out. If we are scaling in we say “Yah, more puts for less money” but if you are already fully commited you freak out and take a 30% loss.
DM – I told you NEVER to short GOOG. I do short them all the time but by selling calls, the damn thing is like a play-doh premium factory that just keeps cranking out high V options to sell against longer positions! Here’s the roll spot by the way, $590s are fetching $20, that covers us to $610 – always a good thing! XXX
TSO – it’s a good recovery play and you can sell the $50s for .90 and roll down to the current $45s if it heads the wrong way on you.
FWLT gone wild, new highs, tempting short later.
Oil not going so hot considering how wonderful life is.
BIDU up and up and up and up…
DIA $140 puts at $1.25 as a mo play! XXX
SHLD like a little energizer bunny!
LOL – Bush on tape so he doesn’t screw up…
Rolling RMBS Oct $17.50s to 2x Nov $20s. Will roll Nov $17.50s to 2x Jan $22.50s. XXX
On the whole, I’d say not making new highs would be bad. Let’s make sure we are covered going into the weekend, worst comes to worst we take them off on Monday and enjoy the next 300 points but covering ahead of new highs is usually a good idea. XXX
On an intraday basis, certainly take big Oct/Nov winners off the table if we get a pullback, again, lots of fun things we can do with cash next week. XXX
Cool move Optrader, thanks for the idea yesterday, was a great pair to the butterfly, which leaned more bearish.
QQQQ puts are a nice weekend play too, let’s keep an eye out for tech weakness (AAPL, GOOG, RIMM, AMZN) developing later. But I will start with some $52 puts at .55 for a mo play XXX
Taking out BIDU Nov $290 putter with a 40% profit, willing to risk a buck or two rather than give that gain back!
FWLT – when is now. If you want to short the big boys you have to buy the $135 puts into the surge to $140, at $140.50 you either get out and wait to buy the $140 puts at $144.50 or sell the $145 puts as a mo play with very tight stops to scalp a few quarters while you wait for the turn. I’m just going with the $135 puts for now at $2.6, will DD at $141 and then sell 1/2 the $145 puts if it keeps going up. XXX
MER with a $5Bn write down – same old, same old I guess…
TRMP is so undervalued!
NEM – no that’s a wake up and find the dollar in the toilet kind of play (not to mention anti-terror).
Wow, lots of buyers coming in now. EXPE on fire. RIMM unstoppable…
FSLR – you can always roll yourself to Nov, you can pay for it by rolling your caller down if you are brave.
DIA and Q puts not working, will look for better entry later.
Here goes BXP – let’s see if this causes a general Real Estate sell-off, in which case watch for financials to follow.
$25K has nothing to do with taxes, it’s the day trading that screws you up. Karmcon wrote a very important article on getting IRS trader status on your tax forms that everyone should read, the deadline may be soon. You can get burned on taxes if you don’t keep good track of your losses to offset gains, there are programs for it but I prefer a good accountant!
CAKE – nah, we have to let some things run – perhaps if they can’t take $25 and fall below $24.80 then we could sell the $25 calls but I’d set a tight stop on those.
AAPL going nuts! I can’t believe CROX isn’t at $70 with everyone else having such a party.
SHLD turning into the play of the month so far.
VIX – yep, happy vix = continued momentum in this direction….
I’m finding it strange/suspicious that the financials are so subdued but I’ll go with the flow for now.
T – not sure what the rule is there, you need to check with broker but my experience is they tend to work out as you get assigned (if it happens) a short and pick up the premium as the stock dips (usually after a dividend). If your caller exercises you now, he’s buying the stock from you for $42.50 + the .48 of remaining premium – with the stock currently at $41.90, if that costs me a .35 dividend, please assign me a few million!
That 50.50 mark for SNE sure is hard to get past!
BA – I always like BA on dips.
IMCL – there is no exit but if you DD’d you should be getting back to the original amount at a lower basis.
TRMP – take profits for sure!
OVTI record highs!
SBUX getting bought – now that’s a rally!
OVEN gone mad.
Sellers have left the building and it’s not even lunch. Europe done in 20 mins, let’s see what sticks.
GME on the move, I llike them for the Nov $60s at $1.60 XXX NO FILL
Holy cow am I glad we got out of PTR and FXI puts!!!
Dollar down to 78.25, seems like the wrong way to me but thinking is definitely not a good plan in this market.
Relative % – no, I let a winner run but when I see a big number like that I do tend to be more likely to stop at least half out because — it isn’t really a gain until you cash it!
FWLT – scaling, scaling scaling! Holy cow, I got some at $2.75 and more at $2 and now I’ll get half out at $2.40 so I’m in with a lower basis than I planned on my initial entry. If it goes back to $2 I’ll DD again and then get 1/2 out at $2.20
C doing very well.
Oil selling off during all this (trying to sneak out the back door while no one is looking).
$25KP notes:
FLEX is flying!
JPM, now the rolled $47.50s are up 60%!
MTB – looking good
NEM – not worried, they are disaster protection
PFE – let’s sell the rest of the $25s for .75 as we could use some cash.
SYX – let’s sell the $22.50s for .60 for weekend protection (stop if we break $22.50)
YRCW – too risky – lets get out at $2.60
$10KP notes:
No changes. FYI – had we not touched the RIMM spread from yesterday morning, we would be out $290 at the moment (I left a set for comparison).
SHFL making a nice comeback
QQQQ $41 puts at .40 XXX
Sorry, $52 puts at .40!!! XXX
Posted October 5, 2007 at 2:59 pm Permalink (Edit)
CF – LOL, nothing is a good short right now!
AAPL – naked selling, no thanks!
FWLT – I’m giving them to next week. As I said though, not looking good for puts.
