Today went up and down. Many of my stocks performed well like AAPL, GOOG, AMZN, MA, and TSLA but HLF, NFLX and PCLN did not perform as I was hoping. Thursday will be very important and I'm looking for another flat to up day. I need HLF to start moving higher!
Jonny
Wednesday, August 28, 2013
Tuesday, August 27, 2013
My options account August 27, 2013
Today was not a good day for my account. The overall market was down a lot and many of my stocks were also down a considerable amount. Around mid day I was thinking about what to do. I could either hold my positions and see what happens or I could buy back the positions that had creeped into the money. I decided to buy back those positions and re-position to a safer price. I had to enact this action in AAPL, GOOG, and PCLN. I also re-positioned my call credit spreads on AMZN, TSLA, NFLX, MA and part of HLF. I'm expecting a flat to down market through the rest of the week. We may get a rebound at some point (either tomorrow or Thursday) so my current strategies are set up to take advantage of this. I lost $997 today so I wiped out all my gains from last week today. I still have a decent chance of making a profit this week but its really going to depend on what happens tomorrow and Thursday.
Jonny
Jonny
Monday, August 26, 2013
My options account August 26, 2013
I had a great week last week with a $1,046 gain for a 38% return. Today I put on my weekly option positions. The market was up for most of the day but took a dive in the afternoon after John Kerry opened his mouth. Here are a list of my positions:
AAPL $502.97 495/490 put credit spread; 505/500 put credit spread; 2 520/525 call credit spreads - Apple was up about $10 earlier in the day but came down in the afternoon.
GOOG $866.39 860/855 put credit spread; 890/895 call credit spread
HLF $64.98 6 62.50/60 put credit spreads; 2 65/64 put credit spreads; 7 67.5/70 call credit spread. HLF is again my largest position. The stock hasn't moved much but the premiums are large enough to make good money.
NFLX $282.50 2 270/265 put credit spreads; 2 300/305 call credit spreads. Netflix was up a lot earlier but came down like every other stock. I'm looking good on these positions.
PCLN $949.54 935/930 put credit spread; 945/940 put credit spread; 2 970/975 call credit spread
AMZN $286.21 280/275 put credit spread; 295/300 call credit spread
MA $615.18 610/605 put credit spread; 635/640 call credit spread
TSLA $166 160/155 put credit spread; 185/190 call credit spread
Well there you have it. The big days are Tuesdays and Wednesdays and it will be a good indicator of what I can expect.
Jonny
AAPL $502.97 495/490 put credit spread; 505/500 put credit spread; 2 520/525 call credit spreads - Apple was up about $10 earlier in the day but came down in the afternoon.
GOOG $866.39 860/855 put credit spread; 890/895 call credit spread
HLF $64.98 6 62.50/60 put credit spreads; 2 65/64 put credit spreads; 7 67.5/70 call credit spread. HLF is again my largest position. The stock hasn't moved much but the premiums are large enough to make good money.
NFLX $282.50 2 270/265 put credit spreads; 2 300/305 call credit spreads. Netflix was up a lot earlier but came down like every other stock. I'm looking good on these positions.
PCLN $949.54 935/930 put credit spread; 945/940 put credit spread; 2 970/975 call credit spread
AMZN $286.21 280/275 put credit spread; 295/300 call credit spread
MA $615.18 610/605 put credit spread; 635/640 call credit spread
TSLA $166 160/155 put credit spread; 185/190 call credit spread
Well there you have it. The big days are Tuesdays and Wednesdays and it will be a good indicator of what I can expect.
Jonny
Friday, August 23, 2013
My options account August 23, 2013
Today went as expected and my account was up over $1,000 this week. That is over a 35% gain! I hope to keep the wins coming next week.
Jonny
Jonny
Thursday, August 22, 2013
My Options Account on August 22, 2013
Today was an interesting day. The Nasdaq halted for 3 hours. I'm not really sure what happened there. The overall market was up and my account was pretty steady and finished up $87. That's a three day winning streak.
HLF was down again by 0.26 to 63.49. My positions were up $114 on the day and my 62.5/61 put credits are looking good. I would love it if the stock can break this streak of starting up and finishing down. I have 2 65/64 put credit spreads and one 62.5/64 call debit spreads so I really hope the stock can move above 64 tomorrow.
Apple was up .64 for a $52.50 gain. The stock is at 503 and I need it to stay between 495 and 510.
Google was up 4.38 to 873.71 so I am looking great on my 860-890 position. Options were up $62.50 today.
MA was down 2.05 to 617.26 and I'm looking good on my 610/605 put credit spread going into tomorrow. I was up $40 in my options today.
PCLN was up 11.54 to 951.74 and I need the stock to stay between 935 and 955 tomorrow. I lost $58 on my options today.
TSLA was up 9.14 to 157 so looks like I'll take a full loss on my 148/150 call spreads. I guess I'm glad I took such a big risk on this stock because if I would have put on a call spread at a higher strike I most likely would have lost more. Its a small position so I'm okay with it.
I also have a very small position in SPY. The option value is currently at 166.10 and I need it to stay between 164.50 and 166.
Expiration Friday is tomorrow and I'm looking forward to completing this successful week.
Jonny
HLF was down again by 0.26 to 63.49. My positions were up $114 on the day and my 62.5/61 put credits are looking good. I would love it if the stock can break this streak of starting up and finishing down. I have 2 65/64 put credit spreads and one 62.5/64 call debit spreads so I really hope the stock can move above 64 tomorrow.
Apple was up .64 for a $52.50 gain. The stock is at 503 and I need it to stay between 495 and 510.
Google was up 4.38 to 873.71 so I am looking great on my 860-890 position. Options were up $62.50 today.
MA was down 2.05 to 617.26 and I'm looking good on my 610/605 put credit spread going into tomorrow. I was up $40 in my options today.
PCLN was up 11.54 to 951.74 and I need the stock to stay between 935 and 955 tomorrow. I lost $58 on my options today.
TSLA was up 9.14 to 157 so looks like I'll take a full loss on my 148/150 call spreads. I guess I'm glad I took such a big risk on this stock because if I would have put on a call spread at a higher strike I most likely would have lost more. Its a small position so I'm okay with it.
I also have a very small position in SPY. The option value is currently at 166.10 and I need it to stay between 164.50 and 166.
Expiration Friday is tomorrow and I'm looking forward to completing this successful week.
Jonny
Wednesday, August 21, 2013
My Options Account on August 21
Today I saw a lot of volatility in my underlying stocks and the overall market in general. Stocks were down, then they came back up and then they went back down again. My account was up $259 today. All of my strategies are looking good so far this week. I did make some additional trades and re-positioned a few positions.
My largest position is in HLF. Herbalife was up early after an upgrade but lost all those gains and finished down .97 after Bill Ackman made a statement. The stock is currently at 63.75. Yesterday I sold 10 contracts of the 67.5/69 call spread for .19 so today's action sort of wiped out the premium on that position and my 62.5/61 put credit spreads are still looking good. My options in HLF were up $67.50 today.
All my other positions finished the day okay. Apple was up .93 to 502 and I currently hold the 495/490 put credit and the 520/525 call credit spreads. Google was up 3.91 to 869.33 which is right in between my sold strikes of 850 put and 890 call. I was up $89 in AAPL and $25 in GOOG today.
My two fast moving stocks of PCLN and MA also did good today. PCLN was up 6.83 to 939.60 which is right in between my sold strikes of 920 put and 955 call. MA was down 3.10 to 619.31. I'm still looking good as I sold the 610/605 put spread and the 640/645 call spread. I was up $72 in PCLN and up $15.50 in MA today.
Telsa (TSLA) was down a lot early and I sold one more of the 148/150 call credit spread when the stock was around 147. Yesterday I sold two 144/142 put credit spreads so my window is small but profit potential is very large. The stock is right between my strikes of 144 to 148. The stock is currently 147.19.
Overall a good day. I really need a good week.
Jonny
My largest position is in HLF. Herbalife was up early after an upgrade but lost all those gains and finished down .97 after Bill Ackman made a statement. The stock is currently at 63.75. Yesterday I sold 10 contracts of the 67.5/69 call spread for .19 so today's action sort of wiped out the premium on that position and my 62.5/61 put credit spreads are still looking good. My options in HLF were up $67.50 today.
All my other positions finished the day okay. Apple was up .93 to 502 and I currently hold the 495/490 put credit and the 520/525 call credit spreads. Google was up 3.91 to 869.33 which is right in between my sold strikes of 850 put and 890 call. I was up $89 in AAPL and $25 in GOOG today.
My two fast moving stocks of PCLN and MA also did good today. PCLN was up 6.83 to 939.60 which is right in between my sold strikes of 920 put and 955 call. MA was down 3.10 to 619.31. I'm still looking good as I sold the 610/605 put spread and the 640/645 call spread. I was up $72 in PCLN and up $15.50 in MA today.
Telsa (TSLA) was down a lot early and I sold one more of the 148/150 call credit spread when the stock was around 147. Yesterday I sold two 144/142 put credit spreads so my window is small but profit potential is very large. The stock is right between my strikes of 144 to 148. The stock is currently 147.19.
Overall a good day. I really need a good week.
Jonny
Tuesday, August 20, 2013
My Options Account on August 19 & 20, 2013
I wasn't able to post yesterday but here is a summary of my positions for this week:
AAPL $501.16 495/490 put credit spread; 530/535 call credit spread
GOOG $868.60 850/845 put credit spread; 890/895 call credit spread
HLF $63.76 8 62.50/61 put credit spreads; 1 65/64 put credit spread; 2 62.50/64 call debit spreads
MA $620 610/605 put credit spread; 640/645 call credit spread
PCLN $934 920/915 put credit spread; 970/975 call credit spread
TSLA $147.32 138/135 put credit spread; 148/150 call credit spread
Overall I am bullish this week after the down week last week. HLF was down a lot yesterday but recovered some and I feel I got a gift on my 62.50/61 put credit spreads. My average price on the spread is .39. If the stock stays above 62.50 this week I will bank a 32% gain. So far I feel good about my positions and hope we have a nice calm and up week.
If all goes well I will make a 35% gain this week. So far today my account is up $324.
Jonny
AAPL $501.16 495/490 put credit spread; 530/535 call credit spread
GOOG $868.60 850/845 put credit spread; 890/895 call credit spread
HLF $63.76 8 62.50/61 put credit spreads; 1 65/64 put credit spread; 2 62.50/64 call debit spreads
MA $620 610/605 put credit spread; 640/645 call credit spread
PCLN $934 920/915 put credit spread; 970/975 call credit spread
TSLA $147.32 138/135 put credit spread; 148/150 call credit spread
Overall I am bullish this week after the down week last week. HLF was down a lot yesterday but recovered some and I feel I got a gift on my 62.50/61 put credit spreads. My average price on the spread is .39. If the stock stays above 62.50 this week I will bank a 32% gain. So far I feel good about my positions and hope we have a nice calm and up week.
If all goes well I will make a 35% gain this week. So far today my account is up $324.
Jonny
Friday, August 16, 2013
My Options Account on August 16, 2013
Today went very well. Most of my options were up and was able to get out of my PCLN at a loss at less than total. AAPL, PCLN and HLF were my big winners. I added in a condor in PCLN which worked out nicely for a 25% gain. I loaded up on the 66.5/68 HLF call credit spreads so even though the stock was down I made $301 on my options. Overall it was a rough week for me but at least I added $604 back today.
I may post a few of my trade suggestions this weekend.
Jonny
I may post a few of my trade suggestions this weekend.
Jonny
Thursday, August 15, 2013
My Options Account on August 15, 2013, Part 1
The market is down big today and I see a lot of opportunities to sell some put spreads right now. Here's a few of my trades I'm making mid day (all expiring tomorrow):
PCLN $937 Sell 930/925 put spread for 1.00
AAPL $501 Sell 495/490 put spread for .85
MA $621 Sell 615/610 put spread for .55
HLF $65.25 Sell 65/63 put spread for .35
I get the feeling that the market is oversold in the short term and we will see a slight rebound to the upside later today or tomorrow.
Jonny
PCLN $937 Sell 930/925 put spread for 1.00
AAPL $501 Sell 495/490 put spread for .85
MA $621 Sell 615/610 put spread for .55
HLF $65.25 Sell 65/63 put spread for .35
I get the feeling that the market is oversold in the short term and we will see a slight rebound to the upside later today or tomorrow.
Jonny
Wednesday, August 14, 2013
My Options Account on August 14, 2013
Today was a rough day again. I made a lot of HLF ($444) as the stock was up 1.50 to $66.12. That was the only good news for my account today. AAPL was up about $8 today so that was pretty good and I sold my 505/510 call spread for 1.10. However, my 495/500 call credit spread is now it danger of losing this week. My large position is on PCLN and I have patiently waiting for the stock to go up. It just doesn't want to go up and was down again today by 13.61 to 940. I need the stock to go over 960 which is still possible with this stock. Priceline is known to make big moves so I'm still holding but I'm getting a little worried about my position and may exit if things keep getting worse. TSLA was down 6.43 to 139. I need the stock to get above 144. I still have two days! That's all I have going for me.
Also, AMZN and GOOG were down today and getting very close to my put strike. Thursday will be a very telling day. I would still recommend selling put spreads out of the money in AAPL, PCLN, MA, AMZN, GOOG, HLF and TSLA. The market is due for a correction to the upside later this week.
Jonny
Also, AMZN and GOOG were down today and getting very close to my put strike. Thursday will be a very telling day. I would still recommend selling put spreads out of the money in AAPL, PCLN, MA, AMZN, GOOG, HLF and TSLA. The market is due for a correction to the upside later this week.
Jonny
Tuesday, August 13, 2013
My Options Account on August 13, 2013
Today wasn't a very good day in my account. The overall market was up but PCLN and HLF were down. AAPL was up big so I had to exit and re-position my options. For tomorrow I will be looking to add some put credit spreads in AAPL, PCLN and MA. I think PCLN has made a temporary bottom and AAPL is going to continue the uptrend. Stay out of the money on these to give some cushion. Here are the plays I will be looking at:
AAPL $489.57 Sell 475 put, buy 470 put for a net credit of .40 (.37 after commissions). This would be a 8% gain if the stock stays above 475 on Friday.
PCLN $953.61 Sell 935 put, buy 930 put for a net credit of .44 (.41 after commissions). This would be a 9% gain if the stock stays above 935 on Friday.
My account lost $868 today so I need PCLN and HLF to head higher sooner rather than later. I'm looking good on my other strategies. I repositioned AAPL to 480/475 put credit spread and 495/500 call credit spread. I also bought a 505/510 call debit spread for a small price in case the stock takes off more.
Jonny
AAPL $489.57 Sell 475 put, buy 470 put for a net credit of .40 (.37 after commissions). This would be a 8% gain if the stock stays above 475 on Friday.
PCLN $953.61 Sell 935 put, buy 930 put for a net credit of .44 (.41 after commissions). This would be a 9% gain if the stock stays above 935 on Friday.
My account lost $868 today so I need PCLN and HLF to head higher sooner rather than later. I'm looking good on my other strategies. I repositioned AAPL to 480/475 put credit spread and 495/500 call credit spread. I also bought a 505/510 call debit spread for a small price in case the stock takes off more.
Jonny
Monday, August 12, 2013
My Options Account on August 12, 2013
Today was an interesting day. I was assigned on 200 shares of PCLN from my 970 puts that I failed to exit on Friday and the stock was down all day. I sold the shares right after open but took a $1,300 loss on those shares. Not a good way to start my week. I put on my positions and ended the day up $229 on my options but overall I lost $1,082 on the day. Here are my current positions:
AAPL $468.07 2 455/450 put credit spreads; 2 475/480 call credit spreads
AMZN $269.69 1 290/285 put credit spread; 1 305/310 call credit spread
GOOG 885.50 1 865/860 put credit spread; 1 900/905 call credit spread
HLF $66.20 6 64/62 put credit spreads; 4 66/64.5 put credit spreads; 6 70/72.5 call credit spreads
PCLN $958.02 5 960/955 put credit spreads; 3 980/985 call credit spreads; 2 990/995 call credit spreads
TSLA $147.95 2 144/142 put credit spreads; 1 144/143 put credit spread; 1 155/160 call credit spreads
So this week I put a good majority of my funds into HLF and PCLN. If Priceline can stay between 960 and 980 I will make a very large return. I sold the 960/955 put spread for an average price of 2.00 so this would be a 66% profit if the stock can close above 960 on Friday. They had a very good earnings report but the stock has run up really fast. I am nervous about this strategy but the stock has been so strong I would expect a positive week from here.
HLF has been stuck around the $66 price so I sold some calls well out of the money so I can take advantage of this tight range. I'm really hoping for a positive day in the market on Tuesday to get my account up a lot. If all goes well this week I'll turn the $4,000 I started the day with into $6,800.
Jonny
AAPL $468.07 2 455/450 put credit spreads; 2 475/480 call credit spreads
AMZN $269.69 1 290/285 put credit spread; 1 305/310 call credit spread
GOOG 885.50 1 865/860 put credit spread; 1 900/905 call credit spread
HLF $66.20 6 64/62 put credit spreads; 4 66/64.5 put credit spreads; 6 70/72.5 call credit spreads
PCLN $958.02 5 960/955 put credit spreads; 3 980/985 call credit spreads; 2 990/995 call credit spreads
TSLA $147.95 2 144/142 put credit spreads; 1 144/143 put credit spread; 1 155/160 call credit spreads
So this week I put a good majority of my funds into HLF and PCLN. If Priceline can stay between 960 and 980 I will make a very large return. I sold the 960/955 put spread for an average price of 2.00 so this would be a 66% profit if the stock can close above 960 on Friday. They had a very good earnings report but the stock has run up really fast. I am nervous about this strategy but the stock has been so strong I would expect a positive week from here.
HLF has been stuck around the $66 price so I sold some calls well out of the money so I can take advantage of this tight range. I'm really hoping for a positive day in the market on Tuesday to get my account up a lot. If all goes well this week I'll turn the $4,000 I started the day with into $6,800.
Jonny
Friday, August 9, 2013
My Options Account on August 9, 2013, Part 2
Well, today didn't finish exactly how I envisioned it but it could have been a lot worse. My PCLN strategy worked out well as I finished up $732 on my options. I was also up on NFLX and GOOG. That's the good news. The bad news is on AAPL, HLF and MA. I was disappointed that Apple and Mastercard were down so much today. I had expected those stocks to stay the same or move higher today but it didn't work out that way. HLF was equally as disappointing as the stock was even or up most of the day but started going down towards the end of the day and finished down .74. I had to buy back my 11 66 put options for .65. I still made plenty of money on HLF this week but today I lost $133. I was down $783 on AAPL and down $587 on MA. My account lost $580 today and I finished just over $200 on the week. Not bad but I need a few consistent 10% plus weeks to get me back on track.
Jonny
Jonny
My Options Account on August 9, 2013, Part 1
Today is going okay so far. I was very worried about my PCLN options and early this morning the stock was up over $990. It has come down to $976 and I re-positioned my put spreads and sold four of the 970/965 for a short term gain if the stock can stay above 970. I will be looking for PCLN to stay between 970 and 980 today for a very large gain.
The other two stocks I'll be looking at are MA and AAPL. Both stocks are down today and I really need them to start heading higher soon or I'll have to buy back my put spreads. I want to avoid large losses today.
HLF is sitting right at 66 so as long as it stays here or goes up I'll be looking really good.
Jonny
The other two stocks I'll be looking at are MA and AAPL. Both stocks are down today and I really need them to start heading higher soon or I'll have to buy back my put spreads. I want to avoid large losses today.
HLF is sitting right at 66 so as long as it stays here or goes up I'll be looking really good.
Jonny
Thursday, August 8, 2013
My Options Account on August 8, 2013
Today was a really good day for me. My account was up $1,017 today. My big winner was HLF, my largest position. Herbalife was up 1.48 to 66.65 today and as long as the stock stays above 66 tomorrow I'll be a big winner. I added one more 66/64 put credit spread sold for .55 today and I bought back my 4 62.5/60 put spreads and my 4 62/5/61 put spreads for .07 and .05 respectively banking those gains. I moved the funds into an earnings play on PCLN. My HLF options were up $651 today.
Priceline is one of my favorite stocks to watch and it has been up a lot over the past 3 months, 6 months and 1 year. The PEG ratio is a respectable 1.28 so the stock is still valued appropriately based on the expected growth. With that said I was expecting the stock not to move up as much as it did so I sold 3 680/685 call spreads for 1.22 each. The stock was currently trading at 933 so the stock would need to go up more than 47 points on Friday for me to lose money. Priceline reported very stellar earning and the stock rose and has settled after hours at 981.60. To say I'm nervous about my position is an understatement. A lot of things can happen tomorrow so I'll be watching closely. I also added 1 995/1000 call credit spread for .65 and 4 855/850 put credit spreads for .35. I'm kicking myself for this move now because PCLN has been so successful and must have outstanding management. I just didn't think they could do so well with the business they are in. Guidance wasn't raised for the next quarter so this could help the stock stay where its at or move a little lower tomorrow. We'll see.
I'll be watching all my other options as well tomorrow. Here is a summary of where I'm at:
AAPL $460.86; 3 460/455 put credit spreads; 3 470/475 call credit spreads. I have a tight range here but I feel pretty good about these positions unless the market heads lower.
GOOG $892.66; 1 885/880 put credit spread; 1 905/910 call credit spread. I feel good about these positions and hopefully we don't see a big move on Friday.
NFLX $250.40; 2 245/240 put credit spreads; 2 255/260 call credit spreads. I don't feel compfortable wih this position even though the stock price is in the perfect place for my condor. I've seen too many 10+ moves but I had to hold on due to the size of the premiums. The stock was only up 1.19 today so hopefully we see another day like that tomorrow.
I bought back my TSLA 130 put and sold the 128 put so I banked a $80 gain today.
Check back tomorrow and I should have a morning update or possible trades. PCLN should be a good stock to trade tomorrow.
Jonny
Priceline is one of my favorite stocks to watch and it has been up a lot over the past 3 months, 6 months and 1 year. The PEG ratio is a respectable 1.28 so the stock is still valued appropriately based on the expected growth. With that said I was expecting the stock not to move up as much as it did so I sold 3 680/685 call spreads for 1.22 each. The stock was currently trading at 933 so the stock would need to go up more than 47 points on Friday for me to lose money. Priceline reported very stellar earning and the stock rose and has settled after hours at 981.60. To say I'm nervous about my position is an understatement. A lot of things can happen tomorrow so I'll be watching closely. I also added 1 995/1000 call credit spread for .65 and 4 855/850 put credit spreads for .35. I'm kicking myself for this move now because PCLN has been so successful and must have outstanding management. I just didn't think they could do so well with the business they are in. Guidance wasn't raised for the next quarter so this could help the stock stay where its at or move a little lower tomorrow. We'll see.
I'll be watching all my other options as well tomorrow. Here is a summary of where I'm at:
AAPL $460.86; 3 460/455 put credit spreads; 3 470/475 call credit spreads. I have a tight range here but I feel pretty good about these positions unless the market heads lower.
GOOG $892.66; 1 885/880 put credit spread; 1 905/910 call credit spread. I feel good about these positions and hopefully we don't see a big move on Friday.
NFLX $250.40; 2 245/240 put credit spreads; 2 255/260 call credit spreads. I don't feel compfortable wih this position even though the stock price is in the perfect place for my condor. I've seen too many 10+ moves but I had to hold on due to the size of the premiums. The stock was only up 1.19 today so hopefully we see another day like that tomorrow.
I bought back my TSLA 130 put and sold the 128 put so I banked a $80 gain today.
Check back tomorrow and I should have a morning update or possible trades. PCLN should be a good stock to trade tomorrow.
Jonny
Wednesday, August 7, 2013
My Options Account on August 7, 2013
Today was a pretty good day. I didn't make many trades today and just let my positions ride. NFLX was my big winner as the stock was down 6.69 to 249.21 and its sitting right between my strike prices. MA was my big loser as it was down 7.68 to 646.32 which is below my 650 put that I sold. I am still confident in the upside of MA so I won't buy back just yet. HLF was down just slightly and I think the stock will head higher if we can have a positive day in the market. For earnings I sold one TSLA 130/128 put spread for .82. The stock was up big after hours so looks like I'll bank that $82. Overall I lost $18 in my account today and I'll be looking for a big positive day on Thursday.
Jonny
Jonny
Tuesday, August 6, 2013
My Options Account on August 6, 2013
The overall market was down 0.74% on the Nasdaq and 0.60% on the Dow. My account lost $347. AAPL was down 4.25 to $465 and I need Apple to stay between 460 and 480. I like Apple's upside so I feel pretty comfortable with my position. If the overall market is down a lot this week then I am at risk on my 460 puts. I have a small position in GOOG and the stock was down 8.43 today to 896.50. I'm in a good position as I need Google to stay between 885 and 920 by Friday.
My largest position is in Herbalife and I added to this position today when the stock was down. HLF finished down 1.11 to 65.56. I added some 66/64 put credit spreads with an average price of .925 and some 66/65 put credit spreads with an average price of .50. If HLF can go and stay above $66 by Friday I'll be banking a very large percentage gains on all my positions. The stock moved in relation to the overall market today and I expect HLF to have a very large move up at some point in the near future. It may not happen this week or next week but it will happen based on my opinion. I lost $189 on my HLF positions today.
Another stock that I am very bullish on is Mastercard. MA was up 11.55 to 654 today. I am bullish but I wasn't expected such a large move in this stock so quickly over the past week. I sold the 660/665 call spreads so I want MA to stay below 660. Based on the current action I don't like my chances. I re-positioned my put spreads and sold 3 the 650/645 for 1.35. I have a very tight range so I'll be looking for the stock to stay relatively flat tomorrow and will look to exit with some small gains either tomorrow or Thursday. Its more of a guessing game at this point and I don't like to be in those positions.
My last option position is in NFLX and the stock was up again today by 2.06 to win 255.90. I'm not ITM in my 255/260 call credit spread but didn't exit because I re-positioned my put spreads to 245/240. I'm going to watch to see how this stock moves on Wednesday. I feel NFLX is way overvalued and I'll looking for a pull back this week.
Jonny
My largest position is in Herbalife and I added to this position today when the stock was down. HLF finished down 1.11 to 65.56. I added some 66/64 put credit spreads with an average price of .925 and some 66/65 put credit spreads with an average price of .50. If HLF can go and stay above $66 by Friday I'll be banking a very large percentage gains on all my positions. The stock moved in relation to the overall market today and I expect HLF to have a very large move up at some point in the near future. It may not happen this week or next week but it will happen based on my opinion. I lost $189 on my HLF positions today.
Another stock that I am very bullish on is Mastercard. MA was up 11.55 to 654 today. I am bullish but I wasn't expected such a large move in this stock so quickly over the past week. I sold the 660/665 call spreads so I want MA to stay below 660. Based on the current action I don't like my chances. I re-positioned my put spreads and sold 3 the 650/645 for 1.35. I have a very tight range so I'll be looking for the stock to stay relatively flat tomorrow and will look to exit with some small gains either tomorrow or Thursday. Its more of a guessing game at this point and I don't like to be in those positions.
My last option position is in NFLX and the stock was up again today by 2.06 to win 255.90. I'm not ITM in my 255/260 call credit spread but didn't exit because I re-positioned my put spreads to 245/240. I'm going to watch to see how this stock moves on Wednesday. I feel NFLX is way overvalued and I'll looking for a pull back this week.
Jonny
Monday, August 5, 2013
My Options Account on August 5, 2013
I had a very good day in the market today. As I discussed previously, my main focus this week is on HLF (Herbalife). I strongly believe this stock will go higher or at least not go down. There's a lot of news out on this stock so I believe we see more investors/traders go long which could catapult this stock much higher. Going into the day I had 4 contracts of the 62.50/60 put credit spreads. I added 4 contacts of the 62.50/61 put credit for .41 (32.7%) after the stock was up about .60 on the day. I also added 1 more contract of the 62.50/60 put credit spread for .68. I also bought 1 65/67.5 call debit spread for .85 to take advantage of more upside this week. The stock rose throughout the day and in the afternoon I added 2 66/64 put credit spreads for .85 (69.5%) and 2 66/64 put credit spreads for .95 (85%). At the end of the day my positions in HLF were up $366 after the stock finished up 2.75 on the day. If that isn't an indication of where the stock will be going I don't know what is. The overall market was down and this stock was up over 4%.
I also entered some of my standard credit spreads and here is a summary of my positions:
AAPL $469.55 3 460/455 put credit spreads at .78; 3 480/485 call credit spreads at .51
GOOG $905 1 885/880 put credit spread at .55; 1 920/925 call credit spread at .65
MA $642.45 3 630/625 put credit spreads at .84; 3 660/665 call credit spreads at .55
NFLX $254.03 2 235/230 put credit spreads at .60; 2 255/260 call credit spreads at .63
My account was up $443 today which is much better than most Monday's. NFLX is my only concern at this point. The stock just shot higher at about 1pm Central and went from $246.80 to $254 in two hours. I'm checking into why as this stock is way overpriced.
Jonny
I also entered some of my standard credit spreads and here is a summary of my positions:
AAPL $469.55 3 460/455 put credit spreads at .78; 3 480/485 call credit spreads at .51
GOOG $905 1 885/880 put credit spread at .55; 1 920/925 call credit spread at .65
MA $642.45 3 630/625 put credit spreads at .84; 3 660/665 call credit spreads at .55
NFLX $254.03 2 235/230 put credit spreads at .60; 2 255/260 call credit spreads at .63
My account was up $443 today which is much better than most Monday's. NFLX is my only concern at this point. The stock just shot higher at about 1pm Central and went from $246.80 to $254 in two hours. I'm checking into why as this stock is way overpriced.
Jonny
Saturday, August 3, 2013
My Options Account on August 3, 2013, HLF Analysis
I know its Saturday but I often times do my research for the coming week on the weekend. I always like to have a plan before Monday comes. One stock that I've learned a little about is Herbalife (HLF). I made some money on this stock last week due to the earnings play. I noticed a huge amount of shorts in the stock (30 million and 43% of float). I learned that a hedge fund manager named Bill Ackman shorted an extreme amount of this stock believing that their business model is illegal. I've had some experience is multi-level marketing companies and know the model is not illegal.
The numbers look very good for HLF. Herbalife just reported earnings that beat expectations and guidance was raised as well. Investors love growth and this company is growing. They've grown 27% over the past five years and are expected to grow at a 15% rate over the next five years. The trailing PE is only 14.99 and the forward PE is 11.38. The PEG ratio, which is the PE ratio divided by the five-year growth rate is only .88. I got this number off of yahoo finance. It appears it takes the average PE of the trailing and the forward. The lower the PEG the cheaper the stock. Anything under 1.00 is considered to be a very good value.
Bill Ackman is going to do his best to try and bring the stock price down but due to this large short interest there is extreme risk of the stock moving up very fast and very high. I can't predict the future but I'm going to be watching this stock closely and will try to profit off of it. For next week I already have 4 62.5/60 put credit spreads that I sold at .76 on Friday. That is a 41% gain of the stock can stay above 62.50 by Friday. The stock is currently trading at 64.09 so there is some risk but after seeing their earnings report last week and with all the shorts I think its a very good risk to take.
To give a little information on how the amount of shorts can benefit the longs I want to give my take. I've seen this many times before on stocks that seem way overvalued and have a lot of short interest. Any sudden move up will create a "short squeeze". During a short squeeze people who are short are forced to cover or buy back their shares by their broker. These forced purchases of the stock create a fast move higher in the stock. HLF is very similar but they are not overvalued and have more shorts than I have ever seen in a stock. This is a receipt for a very fast move higher at some point in the future. Now let me be clear about this, Bill Ackman holds a lot of these short shares and he won't be forced to cover. But I'm sure there are plenty of smaller traders who followed Bill's lead who won't have a choice if this stock starts moving up. I don't buy into Bill's theory that HLF's business model is illegal so I'm going to stay long on this stock and I'm expecting it to be very profitable for me over the next few months.
I'm going to be posting some more analysis later so please check me out again soon.
Jonny
The numbers look very good for HLF. Herbalife just reported earnings that beat expectations and guidance was raised as well. Investors love growth and this company is growing. They've grown 27% over the past five years and are expected to grow at a 15% rate over the next five years. The trailing PE is only 14.99 and the forward PE is 11.38. The PEG ratio, which is the PE ratio divided by the five-year growth rate is only .88. I got this number off of yahoo finance. It appears it takes the average PE of the trailing and the forward. The lower the PEG the cheaper the stock. Anything under 1.00 is considered to be a very good value.
Bill Ackman is going to do his best to try and bring the stock price down but due to this large short interest there is extreme risk of the stock moving up very fast and very high. I can't predict the future but I'm going to be watching this stock closely and will try to profit off of it. For next week I already have 4 62.5/60 put credit spreads that I sold at .76 on Friday. That is a 41% gain of the stock can stay above 62.50 by Friday. The stock is currently trading at 64.09 so there is some risk but after seeing their earnings report last week and with all the shorts I think its a very good risk to take.
To give a little information on how the amount of shorts can benefit the longs I want to give my take. I've seen this many times before on stocks that seem way overvalued and have a lot of short interest. Any sudden move up will create a "short squeeze". During a short squeeze people who are short are forced to cover or buy back their shares by their broker. These forced purchases of the stock create a fast move higher in the stock. HLF is very similar but they are not overvalued and have more shorts than I have ever seen in a stock. This is a receipt for a very fast move higher at some point in the future. Now let me be clear about this, Bill Ackman holds a lot of these short shares and he won't be forced to cover. But I'm sure there are plenty of smaller traders who followed Bill's lead who won't have a choice if this stock starts moving up. I don't buy into Bill's theory that HLF's business model is illegal so I'm going to stay long on this stock and I'm expecting it to be very profitable for me over the next few months.
I'm going to be posting some more analysis later so please check me out again soon.
Jonny
Friday, August 2, 2013
My Options Account on August 2, 2013
Today was up and down for me. I made $304 in my account today and only a $4 gain on the week. My MA plays worked out perfectly as the stock stayed just above 645. However, my PCLN plays took a large loss today as the stock continued going up. I also lost a little on GOOG and AAPL. I made money in AMZN, LNKD and AIG. I'm a little disappointed in how this week ended but it could have been much worse. I'll have some very good plays for next week. Have a nice weekend.
Jonny
Jonny
Thursday, August 1, 2013
My Options Account on August 1, 2013
Today was a very volatile day on the upside for my stocks. MA was up 35, PCLN up 29, GOOG up 16. My main concern will be on all three of these stocks going into tomorrow. I did some trading on MA today and purchased a 640/645 call spread. The stock is currently at 646 and if it stays above 645 tomorrow I'll make a profit of $310. I purchased the spread for $190. I also bought back my put credit spread and sold 1 635/630 put credit spread for 1.01 and one 645/640 put credit spread for 2.20. It will be important that MA doesn't move down tomorrow. I also sold 2 655/660 call credit spreads so I don't want to see the stock move up too far. I think we have a pretty flat day in the market and my stocks all around.
PCLN blasted right through my call strike of 895 and the stock is currently at 904. I am expecting a pull back tomorrow but getting the stock to drop $9 will be hard unless the overall market is down big.
GOOG also went through my call strike at 900 and the stock is sitting at 904. I just need Google to go down a little tomorrow.
I have a tight range in AAPL 450-460 and the stock is at 456.83 so just need Apple to stay where its at or go down slightly.
I adjusted my NFLX call spread yesterday to 250/255 and the stock is at 249.20 so I need this stock to stay the same or go down tomorrow.
For AMZN, I adjusted my call spreads to the 305/310 and the stock went up throughout the day and is sitting at 305.50. I'll need Amazon to take a breather and go down a little tomorrow.
For earnings plays I checked out LNKD and decided to buy a strangle spread. The stock closed at 212 and I bought the 200/195 put spread for 1.55 and the 220/225 call spread for 1.75. They reported very good earnings (.38 vs. .31 est) and the stock is now up to 229 in after hours trading. As long as they close over 225 or under 195 I'll make a profit of $170 or 50% in one day.
I also put in a small play in AIG. I sold 2 46/45 Put credit spreads for .25. The stock reported good earnings and I should have no trouble pocketing the $50 gain tomorrow. That's a cool 28% gain after commissions in one day. And this one seemed easy. Wish I had more capital to invest. It was a last minute decision with my remaining buying power.
So to summarize, I need the market and most of my stocks to go down tomorrow with the exception of MA and LNKD. Hopefully tomorrow will be a good day. I've had my fair share of bad expiration Fridays so I'm due for a good one. We'll see how it goes. My account lost $657 today, which isn't all that bad considering the volatility.
Jonny
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PCLN blasted right through my call strike of 895 and the stock is currently at 904. I am expecting a pull back tomorrow but getting the stock to drop $9 will be hard unless the overall market is down big.
GOOG also went through my call strike at 900 and the stock is sitting at 904. I just need Google to go down a little tomorrow.
I have a tight range in AAPL 450-460 and the stock is at 456.83 so just need Apple to stay where its at or go down slightly.
I adjusted my NFLX call spread yesterday to 250/255 and the stock is at 249.20 so I need this stock to stay the same or go down tomorrow.
For AMZN, I adjusted my call spreads to the 305/310 and the stock went up throughout the day and is sitting at 305.50. I'll need Amazon to take a breather and go down a little tomorrow.
For earnings plays I checked out LNKD and decided to buy a strangle spread. The stock closed at 212 and I bought the 200/195 put spread for 1.55 and the 220/225 call spread for 1.75. They reported very good earnings (.38 vs. .31 est) and the stock is now up to 229 in after hours trading. As long as they close over 225 or under 195 I'll make a profit of $170 or 50% in one day.
I also put in a small play in AIG. I sold 2 46/45 Put credit spreads for .25. The stock reported good earnings and I should have no trouble pocketing the $50 gain tomorrow. That's a cool 28% gain after commissions in one day. And this one seemed easy. Wish I had more capital to invest. It was a last minute decision with my remaining buying power.
So to summarize, I need the market and most of my stocks to go down tomorrow with the exception of MA and LNKD. Hopefully tomorrow will be a good day. I've had my fair share of bad expiration Fridays so I'm due for a good one. We'll see how it goes. My account lost $657 today, which isn't all that bad considering the volatility.
Jonny
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