Is telling me we're ready to push past 950. We've retested 905 twice and feel we're ready to roll.
As for the mail markets, i'm hoping for a few days of 50-100 point declines to get to teh 12,500 area which would confirm to me that we're heading back to the lower trendline!!
DYODD
7 comments:
Hope you are right Joe. Markets have made no sense to me for a while. I said a while back that markets are being ruled by emotion rather than fundamentals. By any analysis, metals should be much higher now.
I agree cubed. They dont make much sense. Anytime oil is used as a hedge against a weak dollar, things are ridiculous.
I just wrote 1 covered call on my SKF holdings. Sold it for $650 when SKF hit the 108's. May call at 110$.
Also wrote 4 MFN May 12.50$ calls for 75$ each. Thinking of buying that one back already and booking a quick profit since after I wrote them, MFN plunged. Low enough actually that I bought 300 more shares at 11.60.
I hope so Joe. I think around 950 most of my positions would be back above water.
BTW, it's official: the chief weasel (Bush) says we're not in a recession - so that must mean we are.
Coinlieutenant is concerned about gold heading for a smackdown if oil corrects. It seems that almost everything is cause for gold to get smacked down. Just wait till the Fed announces a .25 or even 0% drop next week and cites "meaningful concerns" about inflation. Talk about a real smackdown!
How do you make a profit on the MFN buy back?
Cubed. Sold to open 4 covered calls at $75 each when MFN hit a high for the day (over 12$). It is now 11.65$. The calls that I wrote (MFN EV) might be selling now for 55$ each. If I thought a bottom was hit, I could buy to close and make 20$ a contract (~1.5%). That would also allow me to have access to my 400 shares again. If MFN popped into the 12's again tomorrow, could write the covered calls again for 75$ if I wanted.
Gotcha!!
I am looking at this site too cubed.
http://www.optionseducation.org/
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