Dry Bulk Shipping

I have been secretly stashing shares of Teekay Tankers (TNK) away for a while now, a few shares each month during the bear recession. TNK ships oil around. People get container shipping and dry-bulk shipping confused. Where as consumer and commercial buying indicators are backed up by container shipping dry bulk is what indicates performance in the commodoties market around the world.

Things to look at with shipping are the Baltic Index, Spot Rates, Charter Contracts, shipping capacities. Many of the shipping stocks suspended dividends in order to take advantage of the ship purchases during the downturn.

TNK's dividend is around 20% at today's price. Frontline (FRO) was another favorite for a ridiculously high dividend payment...

CNBC had a good post today so here it is: http://www.cnbc.com/id/33492795

Happy Trading...

CopySync Update COYN.OB

COYN is also down, what is happening to my trading lately???

COYN was able to secure 1.5M in funding, this funding issue was analysts number one worry. Running out of capital before getting your product out and selling strongly is the death nell of most small businesses. After the cash infusion they had comments redacted the cash positioning worry.

I picked up another 10K shares on this down-turn. Although Wall Street and the Investor dictate a stock price this product is absolutely great and on target with its niche.

We'll have to see what the yearly earnings statement looks like and any guidance. Also the 1.5M is supposed to help them clear a backlog of orders. I think if this ever gets the attention of the investor and they do any kind of due diligence this should reach back to the .35-.50 levels and form a new base. As long as the pump and dump scammers stay away.

Happy Trading

Another XLF Update

These are the times I need to be a full time trader, or set tighter stops...

The XLF after being up over 20% after purchasing is down, way down today... It is down well over 20% and into oversold territory and dropped below its 200-day moving average as the dollar strengthened and banks were having issues and downgrades. This condition sometimes creates an environment for a rebound and with as cheap as the $16 Nov Calls are would make for a good trade going forward, all depending on Thursday's GDP numbers. Especially if it can make it back over its 200MVA...



Currently sitting at .10 and over 350,000 open interest looks like the trend is for XLF to go higher by the Nov expiration. With XLF over 15.20 these should be easily over .20 or 100% return....

More Happy Trading...

Hindsight in Perspective

If you had purchased a thousand of the Amazon (AMZN) November 2009 110 calls (QZNKB.X) last week at a price of .70 or $70 each for a total of $70,000, you would have been able to sell those calls now at a price of 10.70 or $1070, for a total of $1,070,000. This would be an increase of 1,428.57%. Not bad for one day's work.

From Trading Goddess RSS 26 Oct 09

Happy Trading....

The Recession is over!

At least that is what analyst's are looking for this coming week. GDP numbers are due Thursday. This should show the first positive quarter of growth indicating the end of the recession is true. 3% or better is the number, last quarter was -0.7. Wednesday should provide an indication if the durable goods number is higher than expected or at least in-line with expectations. This coupled with American company's strength from overseas sales should drive the 3% GDP growth fairly easily.

Now the concern is are we making our money overseas from a declining dollar and will that drive US investor's to overseas markets? My long-term investments that are in foreign owned companies are up almost 80% ytd as compared to my US value which is closer to 40%.

As volitile as this market has been looking at some spyder ETF's and trading the options on specific sectors may be a smarter move given this weeks impact of durable goods and GDP.

Trading the DIA may be a good money maker but I would keep the sell limits tight and not get greedy.

If tech turns around, especially after the strong top and bottom line reports of some big players the QQQQ's may be another option as well.

I think this week's reports will be a make or break event for the current rally, so watch it close and place trades appropriately, if the numbers are bad pick up some DIA, QQQQ or SPY puts.

One way to take advantage of this is to set up trade triggers with TDAmeritrade. If the market takes a drop as the numbers are released and the index drops set up a buy of PUTS at/near the money and take an immediate market order. First time you will ever hear me say to use a market order, but if the numbers are bad then it will drop fast. Reverse the logic to take advantage of strenght if numbers are good.

Recommend looking into Trade trigger's if you have never used them before.

As always, Happy Trading!

XLF Update

How about that market?

XLF Nov 16 Calls are up 23% since I bought them, holding out for C and BAC earnings.

Now that the DOW is over 10000 I'm starting to look at my pullback strategy with the DIAmonds.

Happy trading...

Acorda Therapeutics ACOR

Pay attention to tomorrow's recommendation to the FDA. Right now there is heavy OCT PUT interest but the Calls for 15 and 17.50 offer great premiums. If the recommendation is positive the opportunity for a successfull covered CALL or cash-secured PUT for Friday's expiration is greatly increased. If there is no announcement tomorrow play at your own risk, as it could come Friday before the close and tumble the share price. However if you are bearish it would be the time to pick up PUTS as an alternative strategy...

Happy Trading...

INTC and the Futures

INTC blew away earnings and almost immediately after trading was reinstated futures shop up 70 points. they have since leveled off in the mid-50's. XLF who dropped today regained its ground on the futures. If JPM reports well at 7a.m. look for a huge day. DIA is approaching a a hundred bucks a share right now.

Looks like we have made some good calls for now...

Happy Trading...

XLF Calls

If you read the FAZ, RIFIN and PUTS post this is another option to use options to take advantage of the continued run-up in financials through earnings... Look at NOV 15 CALLS, over 100k in open interest and XLF is up 38% since July and the bullish calls and upgrades on the financial sectors should keep the rally going...

Happy trading

FAZ, RIFIN and Puts

What are we expecting with 3 major banks reporting earnings this week. JPM, C, BAC plus the DOW approaching 10000. The RIFIN is at its highest point to date at over 800. If you missed out on the bank run-up play the opposite side. Analysts expect BAC to be $30 in 12 months and JPM around $60 this means 3X ETF that are bearish on the financials are going to continue to drop. Look at Nov or Jan 16, 17 PUTS for FAZ, Jan buys you more time value and takes advantage of the possible January effect. I remember when UYG a 2X financial bull was 1.91, I had 11k shares at that point but got greedy and ignored the rules and remained bearish on them hence the FAZ lost identified on the right column of the blog...

Banks are about half way through their balance sheet losses so still much upside, especially with fees, refinances with rates so low, M&A and restructuring...

Happy Trading

DIA Conviction

My partner and I were discussing purchasing the Oct 97 DIA calls based on a belief that Alcoa was going to have a positive earnings report. Obviously we didn't believe it as much as we thought we did else we would have bought at the money today. Oh well, AA reported well futures are up over 40 points and the calls will obviously gap up in the a.m.

So how do we play from here, I think the Oct 98 should be strong since JP and GS report next week and after all the fees and refinance and balance sheet magic should report well and well that will send the DOW even higher...

Happy trading...

Diamond Calls!

Jan 95 DIA Calls have 20,000+ open interest! +DAVAQ 106 days to expiration. If 3rd quarter earnings surprise and consumer spending jumps for the holiday the market should head higher after the bad new is digested. Look at last Friday, futures down well over a hundred points, we were green for a good part of the day and closed slightly lower after a huge increase from expected employment numbers...

Happy Trading...

Magnum D'or Resources (MDOR.OB)

I started to watch MDOR at the end of August when it was around .90. I like this company for what it does and its market potential is huge. They recycle old rubber into chips and now new tires are being made. They recently purchased the largest tire recycler in the country. Today they are trading at over 1.40 a 65% return since late August.

Sep 29: Magnum Completes Acquisition of Hudson, Colorado Facility, One of the World's Largest Tire Landfills, and Perhaps Currently the Largest in the USA--thats when the charted jumped.

They are starting to get significant news coverage and attention and I don't see anywhere but up for them.

Link to the news:

http://finance.yahoo.com/q/h?s=MDOR.OB&t=2009-09-30T08:00:00-04:00

Happy Trading...