Finally I spotted the trend, got in, got out and made money. Almost twice, .05 off in the afternoon at the same trade.
Picked up the July 270 calls when AAPL dropped below 269 and sold when it went above 271.50. Good pullback in the afternoon but my blackberry is a little slower than being on-line.
Will set up some trade-triggers for the same trade tomorrow, pick up at the money calls when it drops below and immediately place a sell at my price point.
Happy Trading...
Wednesday, June 23, 2010
Tuesday, June 22, 2010
Help, I'm stuck
I have had a great first half of the year and now am stuck in a range. Fortunately not losing money, but breaking even or fluctuating plus/minus a few hundred bucks. Example I closed the DIA Puts yesterday only to have them in the money today. I am long a few things which continues my break even pattern. After trading APPLE twice in the last few weeks and although, profitable, 800% less than what was possible if I stuck to my own advice and plan.
So, what to do. Stay in cash until I can get some time to PLAN the next trades.
Some interesting Options action. The market makers have opened up APPLE August options. Tried to get the 270 calls today but had to low of a buy target. I like August since all we had were July and October and APPLE reports earnings a week after expiration Friday. August is a good way to play.
My PLAN for APPLE start buying contracts one a time over the next couple of weeks, target of 20 total and double/triple down on a significant pull-back. This is how I set-up my initial two trades except 10 contracts at a time. I had 260 July's at 8.75 and 7.55 respectively each time. Great set-ups if I held them till today. So trend is still holding just higher on the equity and with all the news on IPads sold, IPhones etc... and iminent earnings report I don't see room for a deep pullback. Given up over 3$ on a 140 point down day.
Citi is progressing, slowlllllllly, but progressing so hanging on to the Jan 4 Calls for at least a dollar return on premium. Limit order set and not changing it.
Happy Trading...
So, what to do. Stay in cash until I can get some time to PLAN the next trades.
Some interesting Options action. The market makers have opened up APPLE August options. Tried to get the 270 calls today but had to low of a buy target. I like August since all we had were July and October and APPLE reports earnings a week after expiration Friday. August is a good way to play.
My PLAN for APPLE start buying contracts one a time over the next couple of weeks, target of 20 total and double/triple down on a significant pull-back. This is how I set-up my initial two trades except 10 contracts at a time. I had 260 July's at 8.75 and 7.55 respectively each time. Great set-ups if I held them till today. So trend is still holding just higher on the equity and with all the news on IPads sold, IPhones etc... and iminent earnings report I don't see room for a deep pullback. Given up over 3$ on a 140 point down day.
Citi is progressing, slowlllllllly, but progressing so hanging on to the Jan 4 Calls for at least a dollar return on premium. Limit order set and not changing it.
Happy Trading...
Sunday, June 20, 2010
Don't Play the Indexes
With great news out of China regarding the Yuan and bond sales doing well and technicals showing support the market is set to rise huge Monday.
I picked up some 103 PUTS on the Diamonds for Jul probably not the best move. I will keep since their still isn't much in the way of underlying performance that has changed and the momentum is based on technicals and traders. All it takes is one bad news headline.
AAPL has been providing huge movements in the options world, ex. 80k versus 6k trading the premiums verses the stock itself. I was thinking the quick rise last week was based on expiration Friday and perhaps some short covering. Maybe not.
I will be looking to layer into October 280/290 Calls over the next few weeks as we get closer to earnings. I had 20 Contracts of July 260's twice now, once at 8.75 and then again at 7.55 cost basis'. I sold both as a day trade instead of holding as a swing trade as I have been telling everyone else. Results 40k in unrealized profits over 2 weeks. So if you were listening to me and not selling out early you are doing better than me ;-)...
AEO is in the money. Citi 4 LEAPS are at the money.
Apple seems to be it, IPad, Iphone, And now the Mini Mac will all add up to beat expectations and with all the hype most likely continue the radical rise we have had lately.
First Solar met its trend around the 100 mark jumped up by 20%, covered for quick profits.
Happy Trading...
I picked up some 103 PUTS on the Diamonds for Jul probably not the best move. I will keep since their still isn't much in the way of underlying performance that has changed and the momentum is based on technicals and traders. All it takes is one bad news headline.
AAPL has been providing huge movements in the options world, ex. 80k versus 6k trading the premiums verses the stock itself. I was thinking the quick rise last week was based on expiration Friday and perhaps some short covering. Maybe not.
I will be looking to layer into October 280/290 Calls over the next few weeks as we get closer to earnings. I had 20 Contracts of July 260's twice now, once at 8.75 and then again at 7.55 cost basis'. I sold both as a day trade instead of holding as a swing trade as I have been telling everyone else. Results 40k in unrealized profits over 2 weeks. So if you were listening to me and not selling out early you are doing better than me ;-)...
AEO is in the money. Citi 4 LEAPS are at the money.
Apple seems to be it, IPad, Iphone, And now the Mini Mac will all add up to beat expectations and with all the hype most likely continue the radical rise we have had lately.
First Solar met its trend around the 100 mark jumped up by 20%, covered for quick profits.
Happy Trading...
Saturday, June 12, 2010
Yet another weekend update
The AAPL trend has continued to supply profits... I have yet to stay in long enough to achieve maximum profits but that would only work if I sat and watched strategy desk and CNBC all day. Being conservative has continued to supply a steady profit stream lately. Buying the Jul 260 Calls around equity support in the mid 240's and selling within a buck of purchased premium price. I will now look at using the 11 LEAPS to ensure time is on our side as I have noticed that the time value drops considerably which almost got me in trouble when first starting these trades. AAPL Targets still above 300. New Iphone goes on sale in a couple of weeks, the news trend has been working as well, although different this time around since AAPL usually gets sold off after news.
American Eagle Outfitters, bought 12.50 August Calls after they guided lower and dropped to that level. They received an Upgrade yesterday and target of 18 which jumped AEO to over 13. Holding this one into earnings and will probably bail just before they report.
Picked up another 100 contracts of January 11 4 Calls of Citi. Also, bought my daughter some of Citi outright for her long-term holdings. Will start looking at Jan 12's as well as a long term holding.
Natural Gas has been slowing creeping up, still looking at UNG.
Congress took the opportunity to get some insight from Warren Buffet on what the next crisis may be and he as well as many other analysts noted the municipal bond holdings will be the next to fail. This makes sense if you have read any of the Credit Default Stories out there. So looking for some ETF's that hold muni's and looking into what banks and inurers may be affected. To SHORT.
Out next week...
Happy Trading...
American Eagle Outfitters, bought 12.50 August Calls after they guided lower and dropped to that level. They received an Upgrade yesterday and target of 18 which jumped AEO to over 13. Holding this one into earnings and will probably bail just before they report.
Picked up another 100 contracts of January 11 4 Calls of Citi. Also, bought my daughter some of Citi outright for her long-term holdings. Will start looking at Jan 12's as well as a long term holding.
Natural Gas has been slowing creeping up, still looking at UNG.
Congress took the opportunity to get some insight from Warren Buffet on what the next crisis may be and he as well as many other analysts noted the municipal bond holdings will be the next to fail. This makes sense if you have read any of the Credit Default Stories out there. So looking for some ETF's that hold muni's and looking into what banks and inurers may be affected. To SHORT.
Out next week...
Happy Trading...
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