I am officially up 120% on my DECK 92.5 calls. Believe me, trading options is not as easy as I make it look. Throughout the years, I’ve definitely lost more than I’ve made. Nevertheless, I am making up lost ground rather quickly these days.
The market is weak due to Italian and Spanish bond spreads blowing out versus German. I don’t see how this will be resolved amicably. I was discussing these important matters with my wife last night, who knows nothing about finance. Her strong recommendation was for Europe and the U.S. to “take their medicine” and restructure their debt. I tried to explain to her how that would mess up the status quo and how I would prefer the old can kick. Then she retorted, “why, so our children will have to deal with these issues later?”
I find it funny that someone, who knows nothing about finance or how the debt crisis is proceeding, could be so confident about what needs to be done, yet global policy makers are juggling balls while their respective countries get burned.
As much as I want things to continue “as is” because it’s convenient for me, I suppose it cannot. Eventually, hard decisions, by brave people, are going to have to be made. Everyone will take a hit, no matter what. However, we will be better for it later, after the losses are taken and things are “reset.”
For now, we will continue the charade, making believe the banks are solvent, until the tipping point. For Europe, that tipping point is a lot closer than people think. No algorithm will be able to predict failure, so you’re gonna have to use intuition and common sense going forward.
In the meantime, I am banking stupid coin on DECK here, as it is my largest position. A sharp rally is coming. We just need a spark to get this car, made from dynamite sticks, going again.
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Test
Randy had it right
http://www.youtube.com/watch?v=xCim7mmLWRA
why dont we just get rid of the euro so i can short the life out of it
it would bring back fond memories of the still insolvent C
Sorry Fly.. my comment was chewed up by spam. That’s why i was testing.
Yeah, tons of preservatives in SPAM, but you have to eat the stuff eventually, or it really will get nasty on you.
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spam has a shelf life of a century
my WNR is rather large right now
And red.
And… sharp!
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more of a purplish hue..
Look at the avatar, for reference. He’s cut it off, apparently.
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very sharp, shark teeth sharp
Monsieur — I have similar vexations with my option plays, but not so much w. regard to losing money, but in selling for maximum profits. I’ve found blowing out at the first pop is often a better strategy in the short to medium term (as there is no “long term,” per se) than holding on for a longer profit like you are now experiencing on DECK.
How are you making that determination, or is it all just “it’s a limited position, so I can afford to let it play some?”
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I am using my space rocket.
I’ve also witnessed this phenomena in options and think it is more about certain players out there arbitraging volatility. That first pop triggers fast moving bids that inflate the implied volatility in the atm and otm options which can quickly be neutral-hedged out with common stock.
My experience has been to match the planned catalyst, whether predicted or gifted, with the timeframe of the trade. I also consider if there is an accompanying industry move and overall market move to determine a so-called breadth of the pop. I’ve found that a strong market can push up option premiums alongside a strong stock performance.
You could always sell your cost of the trade on the pop and set a trailing stop for the remainder. After many scrapes and burns from meddling with financial alchemy I’ve since erred to the side of caution and taken options profits when given to me. My newest obsession however are weekly options. They take surgical precision, but on Marley’s ghost, I will reap those gains. A month ago I hesitated to pull the trigger on X calls that would have gained 5000% overnight.
Fly
What guided you to keep those beautiful DECK calls. Well played, just wanting to know even after earnings you decided to keep it and when will you sell?
Thank you
B.W.W.
see above.
Whole Foods Parking Lot: http://youtu.be/2UFc1pr2yUU
You don’t have to shop at Whole Foods to find this funny, but if you do shop there, you’ll laugh your a$$ off!
Shop direct from your local farmers. Own a freezer and buy in bulk and save lots of $$$. Fuck Whole Foods.
USD/JPY throwing a wrench into the plan.
worse part about it is that they had a perfect oppoerunity to “take the hits” when all this crap hit the fan 08-09, but they thought they could grow their way out of it – silly bastards.
with that said I dont think the 1%ers who have the majority of their net worth tied up in financial assets want to see the
. I think can kicking will be the new norm until they cant anymore.WTF?
WNR needs a kick in the ass. Is today the day?
Mastah Fly, seems like every momo and their mama is looking to buy the dip.
Keep it black cocksuckah.
I find it funny that so many intelligent people are completey ignoring that what is happening to the economy is purely intentional, in order to arrive at a “take our medicine” solution which is really designed to promote world govt, at the end of the day.
Is that a default explanation or do you have some proof of this intention?
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jake, lol
Mrs. Fly is correct….imho, it would have been a lot easier if we did it in 2009.
It’s obvious we are in the “what’s in it for me” phase of existence. Unfortunately it seems nobody in power from Wall Street to DC cares anything but what they can get out of this before it all eventually collapses. Whether money or staying in power. Whatever it takes to stay in power and enrich themselves and their buddies. Yes indeedy, future generations are completely fucked. But hey, smoke ’em while you got ’em.
Unicredit.
The next Lehman Brothers.
WAtch Europe