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Archive for November, 2011

Posted by Martin November 17, 2011

PG trade adjustment, SPY & POT puts new trade

PG trade adjustment, SPY & POT puts new trade

I am trying to trade longer term options trades. One of the trade I opened recently was long (April 2012) puts on Procter & Gamble (PG). Now I want to be opening short term trades against this trade to produce income. Same thing I am doing with my SLV long term holding and the same Continue reading →

Posted by Martin November 11, 2011

Consolidating market in Rally atempt

Today the market jumped up forming a triangle consolidation pattern after nice rally. We bounced off of the lows in October and had very wild and extended rally. Although I didn’t believe in this rally due to fundamental underlying data, this consolidation may change everything and we are truly forming a new bull trend. Every Continue reading →

Posted by Martin November 09, 2011

DIS trade adjusted

I adjusted my entry limit on Disney (DIS) trade due to gap down this morning. The trade executed short after. Happy Trading!

Posted by Martin November 09, 2011

Stocks plunge on Italian worries – it’s happening

Here we go. What economists were saying all the time and the markets were successfully ignoring has happened this morning. As I wrote in my previous posts, the Italian bonds raised at 7.4% rate which is not sustainable for Italian economy to pay (Italy’s budget can afford paying a rate around 4.6% only). Italy at Continue reading →

Posted by Martin November 08, 2011

DIS Put Butterfly

Here is another trade I am going to take tomorrow. It is a butterfly on Disney (DIS) and the ideal landing spot to profit will be at or around $32 per share, so expecting Disney to drop in price. I entered the trade today night and it should open (if it meets my entry price) Continue reading →

Posted by Martin November 07, 2011

Stocks ended higher today

Late rally today pushed DOW index back above 12,000 points on Euro optimism. In my opinion this optimism doesn’t take into account Italy’s problems with ECB and bonds rate rocketing up. As per the news, the rally started at 2 pm EST on news that Greece will receive the latest installment of emergency aid. However, Continue reading →

Posted by Martin November 07, 2011

European Central Bank (ECB) warns Italy to stop buying its bonds

ECB warned Italy last weekend that it would stop buying its bonds if it won’t pass required reforms of Italian budget to get Italian debt under control, said Yves Mersch a member of a bank governors board. Currently ECB is buying Italian bonds to slow down rates and prevent them from skyrocketing. Although ECB’s interventions Continue reading →

Posted by Martin November 07, 2011

Italian 10-year bonds reached all year record highs today

The Italian bond rates reached all year new highs since Italy joined Eurozone. Today, it raised to 6.67% and that creates a tremendous pressure to Italian budget to pay their loans. ECB intervention couldn’t help this skyrocketing move. Due to investors’ worries about Italian debt the new rate reached almost 7% and as Reuters says Continue reading →

Posted by Martin November 07, 2011

Stocks Will Be Cheap When the S&P 500 Tumbles 25% Says Portfolio Manager

There’s an old saying about lousy stocks on Wall Street: “If you liked XYZ at $50, you must love it at $25.” Along those same lines, it could be argued that if you think stocks are cheap now, just wait until you see how cheap they are when earnings estimates come down. According to Mike Continue reading →

Posted by Martin November 03, 2011

WYNN weekly puts for income

Another trade I would like to take is some income producing trade. I will sell weekly options against my long puts. Currently I hold 1 WYNN Dec 17 2011 130 Puts and I will sell 1 WYNN Nov 11 2011 (weekly)125 Put @ limit credit 1.35 per contract. Basically this trade will be adjusted into Continue reading →