Sell to close the Visa September 18, 2010 75 call option. Read More
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Stocks staged an impressive rally yesterday with blue chips climbing 2 percent and small caps up by 1.5 percent. The move, which again occurred on anemic volume, brings us smack dab in the middle of the trading range that we’ve been mired in for the better part of a year now. Read More
We had several changes to our positions since the last update. We were stopped out of our positions in Global Industries (GLBL) and Neutral Tandem (TNDM) with gains of a little more than 6 percent each. On the other hand out stop loss order was tripped yesterday on Anadarko Petroleum… Read More
Buy to open the Teva Pharmaceuticals December 18, 2010 50 call option at the market. Read More
Sell Short Anadarko Petroleum (APC) at the market, once initiated, place a protective Buy Stop order at $51.06. Read More
Cancel your order to buy SciClone Pharmaceuticals (SCLN). Read More
Sell Short Textron (TXT) at the market. Once the trade is initiated, place a Buy Stop Loss order at $21.41. Read More
What a difference a week makes. This time last week stocks looked to be on pretty shaky ground. On Tuesday the market opened and the S&P 500 dropped to 1060 and a close below that level would have likely resulted in a retest of the lows around 1010. Small caps stocks, which had been trailing blue chips, were likewise precariously poised. Read More
Lexmark’s (LXK) quarterly results were resoundingly cheered this morning. With the stock up sharply we advised selling the Lexmark October 16, 2010 33 put option for a 74 percent loss. We also closed out the American Express October 16, 2010 39 put option for a loss of 78 percent. This morning, after changing again our protective Stop Loss on Global Industries Ltd. (GLBL) and Neutral Tandem (TNDM), we exited both positions for gains of 6.3 and 6.4 percent respectively. File the Netflix (NFLX) short sale under, “The best laid plans of mice and men.” Our concern for limiting exposure on the short came at an opportunity cost. We were stopped out Wednesday morning at a 1 percent loss only to watch the stock plunge the following day in reaction to the company’s disappointing earnings report. A tight stop on our short sale of F5 Networks (FFIV), on the other hand, worked as designed, capping our loss at just 3 percent when it reported results that were favorably received. Yesterday we covered our short sale of ReneSol (SOL) for a 2 percent loss. We had better results with our Whirlpool September 18, 2010 90 put option, which we. closed Thursday for a 19 percent gain. Our results of the trade reinforce our decision to trade mostly long and short positions rather than options, however. Despite being dear right on Whirlpool’s direction, we were hamstrung by lost time value compounded with a shrinking implied volatility. An outright short position would have given us nearly as much of a gain as the put option, while exposing us to less risk. Read More
Raise your Sell Stop order on Global Industries (GLBL) from $4.56 to $4.74. Raise your Sell Stop order on Neutral Tandem (TNDM) from $13.38 to $13.68. Read More