After Hours with Option Addict members, I have posted the link to the recording. I apologize for the delay, but have been away from my machine all evening. The link has been posted on the After Hours with Option Addict site.
As a reminder, I will be out of the office tomorrow. E-mail me with questions/needs.
OA
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Good evening dracula.
There was about to be a blog impeachment over this damn recording. Plus, its still lunchtime here on the best coast.
Loved the shout out to the west coast early risers in after hours today. Thanks for busting your ass to put the recording up – much needed on a wild day like today.
best coast – stocks in the morning, golf in the afternon
Amen – especially with the winds – turns my hook into a slice which means I actually can hit straight for once.
We have all weekend to catch up, Duck Dynasty is having another beard fluffing contest anyway
Thank you sir. Enjoy the fresh coast.
Grabbed some OCT2 13 WLT calls this morning. Thought about going YOLO with them, but I’m going to buy some time!
AAPL – next week 500s – doubled down since they’re half off
Idk if I can bring myself to double down on a decaying asset….
I’d prefer not to…..
nice work cheese, I’m heavy in AAPL myself
Anyone pick up RVLT or WLT from yesterdays chat?
sorry OA but i was unable to acess call n i waited till midnight eastern time. I know u tried but just wanted to let u know
WLT yoloing hard this am…yes Coach, got some 10/19 $15 calls and sold half for +52%, a few min. ago, will hold rest awaiting your command
Long a chunk of the common and Oct 15’s.
WLT that is , no RVLT yet.
long WLT for a few weeks
Could not access recording.
I picked up RVLT @3.64 this am. Thanks for the great pick.
RDN – doesn’t get any tighter coil than this.
was there a chat yesterday? i logged in but there was no sound.
Yes
Hope WLT retests breakout area. 🙂 Nice call AGAIN OA. 🙂
PERSPECTIVE
I have a friend who is an Air Traffic Controller. One night over cocktails I asked him about the stress of being responsible for all the lives of all the people in the planes he was responsible for. He answered “hell no, those are just little targets on a video game. If I ever thought about them as mothers and fathers, kids and grandparents, I’d blow my &^%$ brains out”.
The numbers on my screen today are just numbers. They will go up, they will go down. I am well positioned for this market, I have the tools to take advantage of market opportuntities as they present themselves, my positions are long and have room to come to fruition, and they are not gambles, but sound proven fundamental strategies.
They are numbers on a screen – and the market WILL open on Monday, and subsequent days, as it always does.
Having said all that, I still wouldn’t object to a mid-day rally on FSLR, if it’s alright with you God.
Peace
This action in AAPL is perfect btw.
lets get hyphy in this bitch.
spark it up!
glad to hear u say that about AAPL, ’cause I am heavy and red since WED…might add a little more on your comment, thx Coach
Remember… position sizing…
Yes dpoke, I know “Size Kills” but i feel good about AAPL heading into eps on 10/22…also OA has been stalking this for a while
Looks like AMZN has legs, this am.
Ian, I hope so on AMZN, I’m holding 10/11 $325 calls since WED
I’m holding 10/11 $315’s. So you paid what, around .75 for yours ?
I’m hoping for a 317-318 close.
You root for me, I’ll root for you !
Go SINA !
YGE. It has been parabolic. I know target is 10. But I have to admit I am tempted to book half of my profits. OA, I assume you still holding?
have faith. $10 right around the corner
I rolled up Oct 6s to Nov9s on some of my position – 175% credit
At the risk of sounding annoying, what was your entry/exit plan when you made this trade ?
No it’s not skyrocketing overnight – it’s just steadily marching toward the goal.
Since you know the target is 10, if you look at the one month chart right now, is there anything that tells you there is something “wrong” with your original plan ? Has there been a pullback other
than normal day to day oscillations ?
I mentioned in the “targets” thread the other day that OA target was 10 and my own internal target was 8. As the stock prepares to hit its 52 week high today, I’m revamping my own target to 9.
If you sell today at mid 7’s, will you be able to ignore it next week when you close the other half at (say) 9.25 ?
Not trying to be a know-it-all, just playing devils advocate.
BTW – how did you do on your SINA weeklies ?
I finally booked half of my profits at 450%. I am still holding half because of $10 target. I sold half because that is what I was comfortable with. Suddenly, YGE had become a big part of my portfolio. So the risk to the portfolio was much higher should YGE fail at any point. To decrease the risk of my entire portfolio and bring it more balanced so I don’t cry as much even if YGE fell, I sold half. Sounded like a wise thing to do.
Lanforce, sold my SINA yesterday for 270%. I see it is up today. Oh well. What did you do?
Due to cash flow, I was actually in SINA as a spread, so essentially I had locked in my profits at anything over 87. So they will quietly expire today for a tidy profit of about $680 (can’t really figure % since I didn’t pay for the options).
I understand entirely about portfolio allocation and risk. The larger point was trade managment – as OA always preaches, look for something WRONG with your trade and absent that, let it ride.
BTW, I took some of my SINA profits and rolled them into YGE 8’s (still cheap as of this writing). The rest will go into AAPL.
BTW, even knowing now what I didn’t know then I would have given the same advice on the SINA weeklies. There is nothing more depressing than sitting on a weekly Friday with the market down and no hope for redemption on your option. When the market opened this morning, I really thought we were going to have a re-run of yesterday. You could easily have been siting on SINA trading 83-84.
“A profit in hand beats two potential profits in the bush” !
I be holding
Same question, SFLY – I got into the 60’s @.40
Was that the price everyone got in SFLY? .60?
Damn, I was eyeing that one.
To clarify, OA bought Oct 60’s at .80 IIRC.
My comment was that I bought the 60’s at .40 and was looking to get a target from OA. I had initally pencilled in 58.50-60 nas my own targets.
F*** yeah!
Goodbye YOKU, SKYROCKET!!!
CRM intrigues
OA, when there is nothing above, how do you guess an upward target. I have a tough time in such a case. Take CIEN. Been holding it. My initial target was 26.18, the all time high. But it passed that target easily. Now there is nothing above and no volume profile either. What would you do in such a case?
Hold it until there’s a day with a lower high and lower low.
Sorry. I was looking at a one year chart only. On a 3 year chart, 29 and change is all time high. And there is a small whoosh zone above the current price.
oh AAPL, c’mon…
Don’t have expectations for AAPL today. It’s doing exactly what it should do here for next week.
YGE and SFLY rockin it!
OA, what do u think about BONA? Looks like can gap up to 7.5
AMRN looking good too.
OA, I know you like the downward wedge pattern. However, do you think QIHU is a bit over extended for it?
Looks good
GREK and NBG holding strong throughout this whole lame debt ceiling thing. GREK has been triangling for the better part of 2 years and has broken $20.
Is there no volume profile overhead on UBNT? Anyone else in this? Be curious to compare game plans.
Just pulled a longer chart – obviously nothing overhead.
I feel for you OA being on the road. I was on vacation the past week and a half in Hawaii but limited the amount of trading. I did pick up the YGE calls on a lay over in Houston and am happy I did. Following this market with a six hour difference like I was was tough. The three hours in your case and still running your business is just craziness. I have to commend you for it.
Biz is fine, its missing trades that pisses me off.
I hear you and feel the same way. More than that I have been trying to play catchup on the knowledge/education you have shared over the past two weeks. Again, if I haven’t said this before, thank you for what you are doing.
They’re chanting a whole different tune with FSLR in the mid 40s 🙂
i forgot to rebuy yesterday. damn.
I always make that mistake. So, I have been trying something different. Just not selling LOL.
I always get greedy, so I sold a 1/4 +13% …why not.
don’t look now but DECK, FSLR, SODA, YGE are yoloing
LEDS – too late?
OA, question for ya. I’m a long time investor in VOD ..cost basis around $25 …does the chart look alright to you? or do we see a topping pattern? or perhaps just some consolidation after a nasty run? Would love your input
I picked up NOV calls in BYD (15s) and GME (55s).
My ability to scan charts is shit right now. Can you hit me on Monday?
Will do. Get out of SoCal …you know its the Yay Area is where its at!
Has anyone else noticed how many of OA’s last week picks not only have broken out, but met/exceeded their 52 week highs ?
I am of the firm opinion that while he’s been travelling, he bought the Time Machine from the Big Bang Theory set and somehow (maybe working with Sheldon) got it to work ! The reason he is incommunicado today is that he actually is inhabiting the time/space continuum of October 19 in California right now.
Just a thought.
I know this. I will be seeing you there soon.
Also, I ordered a First Solar t-shirt today. I will posting selfies on the blog soon, for all you FSLR haters a couple weeks ago.
Ok, this time, for real…I gotta leave. May the sauce be with you.
OA
Nearly bottom ticked 43’s yesterday for my YOLO trade this week. May join you with FSLR tattoo.
For a new options trader, with years of equity trading experience, do you guys market order option buys? or use limits? what helps make your decision?
limits always
Definitely limit orders. OA shared some horror stories the other day about market makers pushing horrible fills on limit orders.
NEVER, EVER, do a market order on an option. In fact E-Trade (my broker) won’t even accept after-hours market orders for options (I’m west coast, so I set up a lot of my trades the night before).
One of the things I’ve learned in the 27 days I’ve been here is that a really good play will only have a nickle or so spread between bid and ask.
That said, on trades where there is a wide disparity (esp on complex options like butterflys and spreads), there can be a wide difference between bid and ask.
On a buy, I generally pick a midpoint between bid/ask as a starting point.
FWIW – I average 3-5 orders to fill ONE buy. While I may overpay this way, it’s never by very much.
As I said in a recent post, entry position on a trade is the difference between a killing, a good trade, and a loss.
My .02
thanks for the input guys!
lanforce whats etrade commisions like, I would think that many orders for 1 buy would be murder from a commision standpoint. OptionsXpress only accepts limits AH as well.
Because I have my retirement account with them, as well as being an active trader, I pay Etrade $199/month for unlimited trades.
On average I make about 125 trades per quarter. That works out to about 4.77 per trade. So for one purchase of a single option it is:
4.77 (incuded in my monthly fee)
0.75 per option contract
0.03 CBOE fee
So when I noodle a potential trade, I just generally figure 5.50ish per trade.
Yes, single options are a little pricey and E-Trade is not the cheapest game in town, but they have great research, good news feeds, and for the money I get professional management of my 401(k) for .25%. They also have a terrific smart app for the phone and I can talk to a live broker and issue trades at no charge when I’m on the road or in the car.
awesome thanks for the feedback
GOOD AFTERNOON
Hey Fly – welcome to OA, home of the FSLR, YGE, and AAPL addicts club.
Could you please sell whatever you can find of loose FSLR shares today ? I need another point or so on the stock.
Thanks
*** horrible fills on market orders. ***
Yeah, I made one by mistake once changing an order and it was absolutely awful. Way below the bid.
closed CRUS yolo today for 53% gain – bought the weeklys instead of the Oct monthlys by acccident – seemed cheap at the time!
Thanks OA!
WOW – you got lucky !
yeah – totally lucky – was in a rush, heading into a meeting when the OA buy came out and I wasn’t paying close enough attention. It’s what I’ve learned here though that gave me the confidence to stick with it this morning rather than bailing for a 50% loss (or more) early this a.m.
So kudos OA!
ARUN still breaking out. looking to fill the gap up to $21
Based on volume by price chart, I believe YGE should consolidate ~8 coming into next week, sell on a pop then hopefully volatility tightens grab another otm possibly Nov. setup for the pop to 10$ Is that the hypothesis here?
XNPT
Woo Hoo !
Goooooooo Amazon
My FSLR weekly is up 400% right now, and I’m holding–why? I’ve seen 3 full sentiment cycles today alone, and we’re climbing the wall of worry again. On the next uptick, I’m out!
Thanks OA! I think i’ll order myself a FSLR cap, to help block out the sun and money that is sure to rain down upon me.
I’m in the same boat – what weeklies do you hold and what is your target ?
.09, and my retarded ass didn’t sell when they hit .60. If they get above .50 again, I’ll let em go. Clock’s ticking!
ROTF – you and I are holding the same options. I put my order in for .30 and lets hope there is one more swing left in the stock.
Ian,
I got out! Too nervous with the time left, and a lesson about greed learned today.
-TNG
it should at least fill the gap up to $46 next week
@jstar – that does seem like a likely target
Im holding onto my common with a personal target of 46 as well.
It is an unfortunate fact of life that some VERY hard lessons are learned on expiry Fridays. One of the things that drove me to this group was all the nail biting I was doing every Friday – because I really didn’t have the courage of conviction about my trades.
These days (for the most part), I try and buy enough time with the option so I don’t come down to the 11th hour.
One thing I’ve learned is that some stocks DO have trading patterns that force this on us. Look at the 5 day intraday on AMZN (for which I had a long expiring today). It had a pattern of climbing to the close with sharp descent at open. So on this one, I KNEW I wasn’t trading it until about 12:30PST.
And sure enough, at 12:55 it pops from 17.94 to 19.04 like magic. But again, that was a pattern for the stock.
I try and always be mindful of Fly’s great adage – “it ain’t a profit until you book it”.
Oh and BTW, on those last minute trades it is a virtual lock that with 3 minutes to the bell, you will have an internet disruption.
I’m in GME followed OA. Will see : )
Following Fly into SUNE with some longer dated calls …very small, testing the waters here.
Limits are great, grabbed SFLY too for .50
So how did you do it ?
How many tries ?
Once. I wanted it at .50 when it was at .60 …stock was up early in the morning, figured there would be a consolidation period and someone might market order sell their contracts and I could get filled. and it happened.
Well done there.
Those dimes really come into play when it comes time to take profits !
So you should be 60% happier than OA when it pops (50 vs 80). LOL
Tell me a little more about the SUNE trade, if you don’t mind.
So, I put down a fraction of what I wanted to. I did the january 10s for .85 …figured it would gfive me a bunch of time to see if the trade is going to work, and if not. It’s so small that I can just let it ride through the end of the year. Kind of like a YOLO trade for the next few months. I might be going about this all wrong, but I figured I woudl experiment.
Doing the same thing with BYD, I want .80 and will wait it out.
Got .83
thinkorswim doesn’t let me put $.83, only $.80 or $.85
For Boom Time(below this reply).
You can only enter the order even in five cent increments, but they can fill in pennies.
Had I not chased up .5 I would have gotten my .80 LOL
when a mistake turns out ok….accidentally bought AAPL 500 calls yesterday not realizing they were “minis.” So, spent $196 instead of $2000….saw the error today and picked up the right ones at nearly 50% off from yesterday!!
I put a limit in at .85 and got filled at .83
closed out SODA for 110%.
it’s almost to the point that solid 20-30% stock gains don’t excite me anymore. If i’m not closing out for a double or triple it’s garbage. This is not going to end well. LOL
Sigh, remember when your portfolio sheet showed a 35%-40% gain and you got an erection and took your wife out to dinner ?
Now if it ain’t 115% I have cocktails and get depressed.
OA has indeed spoiled us.
matt_bear, curious why you decided to close it out? I am sitting in it too with good gains but not selling yet.
tgt of $68, and possibly $70 depending on speed
cash management. took profits on a couple of positions i was up over 100% on. I’ve got plenty of stuff that can run next week, but wanted cash in case something happens over weekend. Look at what FSLR and MCP have done in the last week. Up big to in the red to back up big.
Holy cow. I look at DECK as if a hot chick who I could have laid on the first day of college when no one knew about her. Now she is in full glory and she is gonna keep getting higher. I missed the train. This one I really feel because DECK should be making a enormous move like FSLR if I read the charts correctly. I take it it is too late to catch this one unless there is a dip I can buy?
DON’T
CHASE.
If you didn’t like it last Friday at 65, why do you like it today at 68 ?
I too missed this one (couldn’t afford it) and was feeling a little upset on Wednesday when it started going crazy again. But that same money got me five solid trades that have all come to fruition this week.
Take a FRESH look at the chart on the next pullback. Treat it as a new trade and forget what happened before.
As OA said on both Monday and Wednesday AF call, between 7 and 9 out of 10 of these “chase” trades fail.
And it’s even worse with options than stocks !
Besides, do you really want a chick that literally thousands have already enjoyed ?
LOL!
uummm….hahaha!
yaaaaaaaaa ex. BYD today
is it hot in this room , or just me..!
Anyone know how can I open asf file of OA’s recording on a mac? Vlc and quicktime don’t work. Quicktime pro’s meant to work but I don’t have.
If you’re running a Windows virtual machine, Windows Media Player should work.
VLC is rated to play ASF / WMV / WMA files, have you checked your version ?
Updated and it gives message: “No suitable decoder module
VLC does not support the audio or video format “G2M4″. Unfortunately there is no way for you to fix this.”
Technology! anyhow, no worries
Here are some handy FREE converters. One will even put it into itunes format (although OA charts are hard enough to read on a regular screen – LOL).
http://www.macyourself.com/2009/03/26/6-best-free-mac-video-converters-to-handle-nearly-any-file-format/
Okay FSLR – let’s have a closing sprint justforfun
Ditto !
Indeud
TSLA 180 CALLS for next week…ran the 175 today,,its busting thru all this stupid news
TSLA is my favorite short ….besides NFLX, FB, P, and ANGI.
you are 1 for 5
Added a hedge finally. SPY puts. Very non-OA style I know. Portfolio getting too big with naked longs. Going on a random limb, how many see a blow out top on Monday and then turn around Tuesday?
Joined you SR–I picked up .37 165 puts with a next week expiry. If it happens, I recon it’ll happen quick.
Gotta love it – AMZN jumps almost a buck at the bell.
Picked up NOV 15 RDN calls right before the close.
OA – Weekly Summary
CRUS – Grinding steadily updward
DECK – takes out a 52 week high on a day when the DOW is down -50 to -135 intraday. (Move was 61 to 68 since 9/24
GRPN – Popped on Wed-Thu
MCP – Slow but steady grind toward 10
P – Takes out 52 week high (yesterday)
SINA – Blasts through 90 today for a new 52 week high (this stock closed at 79.40 on 09/24)
SODA – Close today of 66.40, from a Monday close of 63.34
YGE – Busts 52 week high today for
SECOND time this week (1st was yesterday). Marching steadily upward toward 10.
FSLR – Phew this may take a while.
On September 10, OA made his case that he likened the stock to BIDU – facing and taking considerable grief for his long position.
Read about it here:
https://ibankcoin.com/option_addict/2013/09/10/my-recent-love-affair-with-fslr/
On September 10 the stock closed at 39.73.
It closed today at 44.
In the interval, we have watched it pop, drop and pop again. At this writgin, there are volume pockets up to 46. People have made money on intraday, weeklies and all manners of trade in
this stock.
OA has never wavered from his initial position (in spite of the grief he has taken – myself included).
He is long on the stock through the long haul to 50.
Personally, I think he should have OA T-Shirts produced with the FSLR logo and make everyone in this room hang one in their trading space.
Even after yesterdays meltdown, I’m up 14% for the week.
And by the way, next weeks AAPL position is going to pay for my family vacation in the Bahamas, if it pans out.
Hawk your silverware if you need to to get into it. This will be the one we all talk aboutfor years to come.
Thanks OA – fly safe.
and thank you for a sterling write up
That was an amazing recap. Thanks for that.
The one thing I can do as (partial) repayment for your invaluable advice, teaching, and (profitable) picks is to help others in the group who may have missed a session, were unclear on their trade plan, or who are letting “emotion” cloud their judgement on a trade.
As you can probably tell, I take copious notes and am meticulous on my trading targets. I like to think that whatever little help I can provide in here is one email or text that you don’t have to deal with – especially when you are on the road.
i ran out early today, but I picked up a hedge with Spy Oct 169 puts. Might be playing it safe, because that triangle break yesterday looks more like a headfake now. Insteading of kissing underneath market went straight up thru, re-entered, and then broke to the north. Though if you take the “what screws the most people”….a double headfake would certainly fit the bill.
KBH/BZH got smacked today. Are these still tradeable or just completely broken at this point?
KBH – First, this trade was not in play yet, it was a “watch”. While I admittedly am no expert (yet) on this trading style, a quick glance of the chart tells me I’d like to see a pullback to 17.40-17.25, with a corresponding drop in volume. At that point, it would seem to be the right setup for an entry. This would be a great one to ask about on the AH call Monday.
Ditto for BZH, except at the 17.40-17.30 range – and again, lower volume.
It looks to me that like us, traders have decided homebuilders are the next big thing, and they are making false starts trying to get a rally going, then backing out the second it goes up a bit.
My admittedly WAG (wild ass guess) is that one of these should be ready middle of next week.
wow,,,lots of new option traders..lets start shouting out losers too…or am I the only one that has losers? but cool interaction
I’ve a couple (CLF, GNK and FRO) that are down and I’m managing my way back by buying some cheap calls (a tip I picked up from OA), these got small gains out of yesterday’s pop. Now waiting for the run up before Oct expiration. It’s too early to call them losers but wouldn’t call them winners just yet.
I also took a stupid trade by buying some weekly UNXL Puts (which i’m long on the stock) after its last run up – thinking the shorts will attack it again. Not a good idea to short any trending stocks at the mo – lesson leaned.
You’re not the only one Gator.
Qihu kicked me in the nuts and what would have been a kick ass win in UA, inside of an hour, turned into a loss.