well, I flipped WFM. You can put me down for this. Sold the 4 77.5 at 2.90 average, and bought 4 80 calls at 1.72. Got about 314 back and the new position cost 701, so I'm net cost at about -387 on WFM. I like the trade.
Interesting! A lot of churning. I bought QQQ Calls last Friday and it took to today Wednesday to realize my profit target and made 7% on the trade. The VIX being low, it is slow progress to the upside, but I too, am looking for the bears to drop a bomb.
We'll see out WFM plays out tomorrow, but the akam spread will make up anything I lose on WFM. At $39, my 4 spreads should give me $1600 back from a cost of 600, so about $1000 gain estimate.
Those calls will be below a buck if WFM opens at 77.50 (last trade AH). I would be very careful buying vol into reports. You can get decimated even if you're right on direction.
Yeah, this one's going to be a wild card. I wanted to see a better guidance on Fy12, 2.28-2.32 was not going to do it. Still, momentum is upward, and I have a little over a week to see it through. I can wait on this one. I'll put most of my attention on getting the most from my AKAM spread tomorrow making sure I close out with a gain as close to $1,000 as possible.
I might have held such a position longer. The price action today was not enough to sell such a much lower volatility position. No way was CSCO going to just drop 10% so soon after just reversing from its earning doldrums just last August. I think we can give CSCO upside benefits for at least another 2 quarters. Can't say the same about GRPN.
how do you know it won't trade back to <140 in market hits st top; maybe even 130-135 I am going to buy a strangle on PNRA and then leg into short side accordingly (convert to debit & credit spread depending on entry prices and direction therafter) - will post what strikes after I take a peek
It may, but you sure have a lot of support levels to hit before there. There's $145, then 50-day at $143, then $140 and $135 before even touching $130. I just don't see PNRA as one of the weaker restaurant stocks when you have others like JACK. I see this more like a trade that MCD did a few weeks back where it went up to 102, reports earnings, then drops to 96, holds 1-2 week, and here we are with MCD back above $100 and possibly testing 102 very soon. I'd have more confidence in PNRA falling to $130 if its report was just all around. Not when PNRA calls for Q1 EPS guidance above estimates and FY12 guidance at 5.50-5.55 against estimates of 5.51. The numbers are holding too strong and the market is still churning higher. I didn't see any signs of weakness in the market today. We still need to get one of those negative 2-3% drop in the indexes before I get more cautious.