Look at the ascents of these two stocks the past 3 months; Look at the bearish engulfing candles yesterday. I'm not fundamentally bearish equities -- so I'm still buying a lot of other stocks, but I couldn't help myself and bought some Oct and Nov puts for GOOG, and some very short term BIDU Oct puts (the IV on November is just too high to buy right now) at close today as a hedge for my other longs. Anyone else see things the same way? Or not? I won't argue that goog may be fairly valued here on a PEG ratio basis, but I just can't imagine the market treating this stock with respect if they merely meet at earnings. Remember last earnings? 550 -> 505 in a few minutes. Is big capex going away? With mortgage lenders out of business, consumer slowing down a little bit everywhere, I just can't imagine GOOG blowing out expectations. BIDU is another story. They have a higher chance of missing just based on past results (they miss as often as they beat) -- yesterday's price action showed me weak momentum hands are holding this stock, at least in this price area. This may sound silly, but I see BIDU trading at $150-200 if they miss. I'm all for multiple expansion, but I can't think of better high volatility hedges for an overly long portfolio. That, and the fact that these correlate highly with the indexes, is very nice. (err. they are the indexes) I haven't fought the trend at all on goog, not until now. AAPL looking toppy too, but I'm not thinking its worth betting against. Yes, it has $30 of froth perhaps. Macbook sales and iphone AT&T kickbacks better kick ass, otherwise all of those earnings projections from analysts don't hold any weight.