$ The PAPA ROACH Road To Riches Quest

Sold out at $2.50.

Trade P/L= +$1,250
Cumulative P/L= +$6,630

 

Closed out at 4.41

Trade P/L= +$1,020
Cumulative P/L= +$7,650

 

Bot 25 SPY $144 Jan 2007 Puts (SFBMN) $5.68

 

Bot 10 X (US STEEL) $95 Jan 2008 Puts (XMS) $7.00

Bot 15 SPY $145 Mar 2008 Puts (SFBOO) $6.78
Bot 1 SPY $145 Mar 2008 Puts (SFBOO) $6.73
Bot 14 SPY $145 Mar 2008 Puts (SFBOO) $6.74

 

Bot 10 X (US STEEL) $95 Jan 2008 Puts (XMS) $5.50

 

Bot 25 GM (General Motors) $20 Mar 2008 Puts (GMOD) $0.83

Bot 25 GM (General Motors) $20 Jan 2009 Puts (VGNMD) $2.80

It is unfortunate, but at this point GM's best option looks like restructuring under bankruptcy.

I don't usually buy options out of the money, in this case I am playing the bankruptcy card and dialing down my capital risk a little.

 

These are great trades, may I ask what is your general method and how long you have been trading?

 

Bot 25 Plum Creek Timber (PCL) $45 May 2008 Puts (PCLQI) $3.00

 

Bot 10 CHK $37.50 Apr 2008 Puts (CHKPR) $2.05

 

I'm still very new to options but is this a protective put? If not could you advise as to why you didn't buy contracts at possibly $40.00 or $42.50.

Thanks in advance.