I have purchased 900 of them at 1.05, before the SPO drop they were going for 1.60-1.65. My hope is to sell them for 1.50, if not, I'm happy with 1.25 in the near future. I'm holding 200k as backup in cash and waiting for LINE to drop between $35 to $36.30 range, to buy $35 June or July13 Calls and hold them Long. I was hoping Bmy and Epd would drop to reasonable levels...but it has not happened, so I'm avoiding Bmy and Epd this time. I just wanted my buddies here on this board to know what I been buying.
Sentiment: Strong Buy
I like the trade X but I'm still concerned about the Sequester - I may pick some up tomorrow but wait on going big until I see which way the political wind is blowing.
In the mean time I've been making money selling short puts on Mtge after the SPO while buying an underlying long put contract for insurance. As Mtge moves up chance of having the stock put to me vanishes tho I wouldn't mind having the stock put to me during the divvy run up.
I bought the $25 June Calls at $1.25. So far so good.
Good luck with yours X!
If anyone is looking for other trade ideas this month, take a look at the chart for RAI (Reynolds American, Inc.) For at least the last 2 years, In Feb, May, Aug, and Nov, the pps has gained at least $1 between the 13th and ex-dividend, in all but one quarter. In many quarters it has gained $2 or more. It seems to have bottomed for the month.
I followed you into those today. I really should have done it yesterday, but I was focussing too hard on hedging AGNC against a SPO of its own - and the implications of a wider mREIT-segment return to SPOs - to realize what MTGE just gave us in terms of upside potential.
MTGE Calls will run and run until the March div.
I usually play LINE and tried to pick up some July 34's on the dip today. No dice. It's still a bit earlier in the cycle than I normally buy, so I'm content to wait & see. I've got a few weeks.
Best of luck on MTGE calls. I went a bit further out (July, Sept 25's).
I was with you on LINE and just barely got out with a small profit this last cycle..
I am thinking of switching to LNCO for this next run. Have you considered LNCO instead of LINE? It seems to behave much better.
I bought some MTGE Sep 22.50 calls today at 3.30, and will add more at any drops. Just wanting a little more wiggle room timewise in case the politicians upset things again. I'm planning on buying LINE calls about the end of next week, and hoping to do it for 36.50. I like BMY and EPD generally, but they didn't treat me well lately and I'll be cautious in this round.