GOOG's E/R will be a BLOWOUT because it is ripping off of competitors' market shares as well as expanding hugely worldwide...particularly Europe, China but also Japan with a a huge potential in India, etc. Bodes VERY, VERY well for future outlook and growth in 2006-2008 yearly estimates (which will be raised within 48 hours from now). A subsequent MAJOR spike up WILL occur. We could surpass the ENORMOUS after hours run-up of last E/R. But, we may also see such a spike triggered suddenly BEFORE tomorrow's close. The institutional buying may have to kick in AHEAD of tomorrow's close instead of after it.
We will probably see a continuation of the general market rally and that of the QQQQs.
This looks to be a veritable PERFECT BULL STORM brewing...a TOTAL juggernaut in the making!
LOAD UP ON SHARES AND CALLS AT ANY PROVOCATION WHEN GOOG WOBBLES AROUND ON ANY WEAKNESSES!! DO IT! Buy SOME protection in puts...buying those cheaply (when GOOG shows strengths) but limit yourself to a ratio of 10%-20% (MAX!) on puts and/or other bearish strategies, to at least 80%-90% calls and/or bullish strategies.
ONLY IF WARRANTED: As I said last week...Be willing to take profits during any and all SIGNIFICANT volatility swings on your calls and puts, so you can increase your capital and re-enter at lower costs on pullbacks. As an example, if you bought the MR 340 calls for $22 on GOOG weakness and we get a spike on GOOG to 340+ so as to produce a VERY good gain on those calls BUT it looks like GOOG is petering out and will roll back over to well below 340 again (which it DID continue to do since I first posted this...it did over and over again and may still do so), be willing to cash out...wait for the decline....jumping back in at a lower prices with MORE and more contracts than before. Accumulate in this manner and load the cannons for the CERTAIN and HUGE coming spike ahead. Same goes on any calls. Same goes, in reverse (dump on significant GOOG pullbacks and reload when GOOG strengthens up again), on any puts.
We COULD hit the 380s-390s intraday BEFORE the close tomorrow. We could hit 450 in after hours or within 48 hours after tomorrow's close. I think we will see as high as 425 to 450 intraday this week!
GOOG holding at or well above all key MAs. Looks good to me. Go for those 320, 330, and 340 call options ANY MONTHS...the MAR calls are very promising leverage-wise. Perhaps the 350s and 360s will be very good leverage-wise, too. We will be well in the money on all calls up to at least 380-400 before OE on MAR 17. GET OUT OF ALL MAR CALLS WHEN WE SPIKE UP. ROLL OUT INTO FARTHER AHEAD MONTHS AS SOON AS FEASIBLE AND NO LATER THAN THIS FRIDAY!
YHOO got an upgrade this morning, and YHOO's CEO has admitted that GOOG has kicked their ass! By all accounts, with channel checking, etc, even by the admission of YHOO's OWN CEO, GOOG is going to deliver BLOW OUT NUMBERS on the top and bottom lines! And the writing will be on the wall that this stock is going to be seeing a share price of $1300 before DEC 31, 2006 when multiples anywhere near the current ones are applied.
GOOG will surpass $2.30 EPS....perhaps 2.50+..and revenues will be as off the charts as some are already speculating.
ALL strategies are workable and usable as tools at various times as appropriate on ANY stock. With GOOG, and its HUGE volatility, one HAS to use all. There simply is no SINGLE way to always make money with GOOG stock and options. There are many ways. I wish ALL of you the best with YOUR ways! And I invite you to share them, as I've tried to do and will continue to try to do.