OFFICIAL STOCK MARKET & ECONOMY THREAD VOL. SCHOOL'S OUT

Originally Posted by JohnnyRedStorm

What's the deal with writing covered calls to hedge? I've read a whole bunch up on it but I'm still a little hazy.
I've been thinking of starting a covered call portfolio.  Its pretty lucrative if you know what you're doing and there is less risk involved than outright shorting or buying.
PM on the hazy parts.
 
Originally Posted by DaJoka004

Originally Posted by JohnnyRedStorm

You guys into ETFs? Thinking about possibly grabbing FAZ since it looks like financials may go lower. I gotta check out some charts on my computer first though.


Absolutely not. FAZ and FAS are 3x leveraged. They should only be used to day trade. Holding overnight is beyond stupid.
Leveraged ETF's can be deadly because of tracking error and the math behind compounding. If it doesn't trend strongly, then you will get killed if it's a sideways market.
 
Originally Posted by freakydestroyer

AAPL 550 Puts look very juicy. 
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They look good, although if prices would continue to decline, then there are pretty significant jumps to 520, 480 and 420, although I'd be very surprised to see it go down that much.

Hoping for a good report from Goldman!
 
$568 is the next unfilled gap. Was trading at $561 earlier pre-market. Now trading close to flat. Hoping that trend continues.
 
HERE WE GO BABY! My bull call spread is looking good. Glad I pulled the trigger yesterday. $580 hold was a psychological key.
 
EMA20 is 604.65.
SMA20 is 613.12. 

Already crossed the EMA20. If we can break the SMA20, I think it's off to the races again. 
 
Polypore International Inc. (PPO) is a good day and night trading stock. Its been flirting between 35-37 past few weeks. After the production shortage with volt came to a halt the stock took a real dip. Ive had some options on it a couple weeks ago and had some luck.
 
PPO looks pretty good thanks for the tip, looks like the MACD should turn positive. Have they solved the shortage problem? It has plenty of room for growth...
 
Nice to see AAPL bounce back. If it gets back to $640/share pre-earnings I might sell some and take the profit. My guess is they'll report revenue in-line with estimates of about $37B for the quarter. I don't see them reporting over $40B and having another blowout performance (just my opinion). Hoping to be proved wrong though.
 
So the question for me in the next 20 minutes is should I take my profit on the weekly call or hope for another good day tomorrow? I feel strongly that we will close higher again tomorrow. But securing a profit on my first options close would be nice. 
 
I sold @ 5.10. Net profit of $208.04. Not bad for 3.5 hours of "work". It's a relatively small amount, but I'm $200 richer in real profits on my first options close. Feels so good man.
Portfolio was up 3.71% ($1319.09).

Best. Day. Ever.

Hopefully the trend continues tomorrow. 
 
DECK today 
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If anyone is looking for nice spec play, PSS options could be interesting  if they get bought out for $24+
 
I use optionsXpress. Pricier than other brokers, but I was approved for full trading (denied completely at Fidelity), so I went with it. I'm learning as I go. Starting with simple calls and spreads, and trading with minimal amounts of money.
I inherited a portfolio three years ago that had a value of around $42k. It was managed by a broker until last May when I took it over myself. Sold off everything and started new. I don't remember exactly off the top of my head, but I've drained about $13k from the account since three years ago. I've needed it for school, medical and living expenses. I haven't had any sources of income since that time. It's worth $41k right now. Since I took over last summer, I'm +38.7%, with approximately $350 in realized losses. 
 
I won't claim credit for optionsxpress but glad you're using them. I like their interface and they're easy to use. I do wonder how that'll impact Schwab in the long run though.
 
I was thinking about joining OptionsXpress or OptionsHouse. (Leaving etrade.) I'm leaning more towards OptionsHouse though. Anybody have any experience with them? Or what are the perks of OptionsXpress Joka?
 
Originally Posted by DaJoka004

I use optionsXpress. Pricier than other brokers, but I was approved for full trading (denied completely at Fidelity), so I went with it. I'm learning as I go. Starting with simple calls and spreads, and trading with minimal amounts of money.
I inherited a portfolio three years ago that had a value of around $42k. It was managed by a broker until last May when I took it over myself. Sold off everything and started new. I don't remember exactly off the top of my head, but I've drained about $13k from the account since three years ago. I've needed it for school, medical and living expenses. I haven't had any sources of income since that time. It's worth $41k right now. Since I took over last summer, I'm +38.7%, with approximately $350 in realized losses. 
Props bro.

IMO, money managed by a "broker" is a joke. I remember a few years ago I let a broker play with $12k, 1 month later I withdrew every penny from that account and closed it. The total I had left to withdraw? $9k.
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Originally Posted by DaJoka004

I sold @ 5.10. Net profit of $208.04. Not bad for 3.5 hours of "work". It's a relatively small amount, but I'm $200 richer in real profits on my first options close. Feels so good man.
Portfolio was up 3.71% ($1319.09).

Best. Day. Ever.

Hopefully the trend continues tomorrow. 

good stuff joka
i got may options but i had to avg down as i got in apple to early ... but yesterday's rebound was 
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. i'll take my chances thru earnings season and see how that goes ... 
 
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