Bandwagon short ratz will start canabilizing each other as the fmr, llc bots put the hurt on... Eventually Sybil will walk through the bloody mess of dead ratz, pick up and clean off their short shares out of their dead mouths and tuck them away for safe keeping. The end.
No hurry. PJ should have a core short/put just as we do. He should keep significant powder dry to either buy more or back up the strike.
I think the techical/chartists are being played. Inflows are done for now. Overstated positive econ reports done too (revisions have a downward bias). Italy's next auction will be rough, even with the EFSF buying to mitigate the disaster.
The easiers play for algos to make money (and that is who is driving the price swings) is to take it down and test the conviction of the conviction buyers...
Going to be out of internet range all day, so I'm putting in some buys on some DITM puts at a price that I think they get to if the PPS is 358. If i can get them at that I will be really happy, if not I still have next week. I don't think this drops 100 in a week, so I will get my shot. I was short LO last year as it broke thru its 52 wk high and got squeezed and then the same with GMCG as it broke thru it's 52 at 100. I'm ok with waiting out these ridiculous runs.
Sybs, I'm sorry for picking up the crack pipe but I would only be able to short 100 shares without going into margin. I can leverage much better with some DITM puts several months out. Jan is a little more risky but March and June will give me plenty of time. This pig would be burnt up by then so I think they pull it off the coals before that! Good luck today guys. - PJ
You may not get 358. I doubt you do. The upgrade squeeze play is running out of gas. They've conditioned longs to buy the dips the past few days. Soon enough it will just keep dropping and squeeze the longs instead. Probably starting mid next week..
Not short term..........LOL...........Here's a nice theorectical trade for ya:
Buy the March 12, 280 Strike Price Put, currently trading at
2.90 bid / 3.10 ask, if you get filled at 3.10 and the stock price drops 10
percent (near term) you will double your money. Stock currently trading at 350.48, if the stock price drops to 314.67, (35.33 lower than it's current price) your option will be worth 6.20, double what you paid for it.
Only disadvantage = time decay of your option, therefore timing is key, gotta be right about direction and time, in other words it can't take 3 months for the stock to drop 10 percent, needs to happen probably within the next 30 days and there's nothing wrong with taking profit sooner than doubling your money for sure...........whewhoo!!! Happy Trading!!!!
Thanks for your support. It has been extremely hard to stay on the sidelines, especially this AM when it started to dive. I have a feeling I get a good entry tomorrow. Might not wait for 360...358ish sounds better. What percentage do you keep as your core position? I think it starts to have some wild swings going forward and I'd like to capitalize on some of the volatility. - PJ