Category Archives: Daily Journal

MCP

Posted on May 30, 2011 by admin

MCP has the highest time value among all the weeklys (2.42% for an ATM strike of 62.5, exp in 4 days).  MCP’s recent fall from high 70s appears to have halted at ~60.  For an ITM strike of 60 (a … Continue reading →

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A run-up of weeklys sorted by the time values

Posted on May 30, 2011 by admin

The following shows part of a table of CBOE weekly options with calculated time values and other values.  The lower of their position in the table, the higher the time value, i.e., MCP has the highest time value, whereas AIG, … Continue reading →

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NVDA

Posted on May 30, 2011 by admin

NVDA is breaking out of the SMA 20 and 50 lines.  It shows a strong support at 17.5-18 range.  A covered-call with an ITM strike of 19 (2.46% ITM) yields 1% return in 4 days 0r June 18 strike 19 … Continue reading →

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A few other trading candidates

Posted on May 30, 2011 by admin

A quick look shows the following interesting stocks as possible candidates: MCP, SLW, YHOO, INTC,  NVDA.  We’ll study each of them in more detail.

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What to trade next week?

Posted on May 29, 2011 by admin

NFLX is overbought.  NFLX broke out of the 260 resistance.  The one-year chart below shows whenever RSI goes above 70, it has been always followed by a correction.  RSI is now at 71.  I don’t expect NFLX price to continue … Continue reading →

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Weekly Summary

Posted on May 28, 2011 by admin

Another interesting week ended with all of our trades being successful. In one of our trading accounts (we’ll call it Account EC, where we have been trading more spreads lately), we have achieved 4.8% gain this week.  Our total return … Continue reading →

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PCLN: oversold

Posted on May 25, 2011 by admin

PCLN, like the rest of the market, is oversold.   Its RSI reached 36.6 yesterday.  The last time it was this low was during last year’s Flash Crash (as low as 33.15).  Statistically, the probability of PCLN price to drop … Continue reading →

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Panicking market to most traders, a golden opportunity to me.

Posted on May 23, 2011 by admin

I love this type of volatile markets, where the weak and unprepared hands are washed out, leaving the true players in the game.  I placed 2 orders this morning, and they were both filled. NFLX weekly spread: 225-230 call, with … Continue reading →

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CRM: I rolled up my short options for more time value.

Posted on May 20, 2011 by admin

CRM reported good earnings.  My covered call (short May 21 $125 call) is due today.  CRM is a good stock with good time value and I want to keep it.  So I bought back the call (strike 125) and sold … Continue reading →

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Weekly trading summary and account update

Posted on May 15, 2011 by admin

The past week was, again, profitable.  Our 3 spreads trades were all successful (NFLX, PCLN and LVS).  This week’s investment return is 8.3% for the trading account.  The total return for this trading account for the last 7 weeks is … Continue reading →

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