which option did you buy and which did you sell? Just wondering if you are long or short this stock....
If you sold the 300 and bought the 310, then you are in a bear put spread, if you bought the 300 and sold the 310 then a bull put spread.
Goldman Sachs and Tesla entered into an agreement back when Tesla did the stock offer to raise money @ $92/share. In order to keep the share price from getting hammered by dilution, Musk decided to enter into a spread with Goldman Sachs. Goldman Sachs is in a bear call spread with Tesla and the strike price on the first contract is at $125. Basically Musk bought a call @ the 125 strike from Goldman Sachs. Goldman Sachs also decided to hedge the bet by buying a call at a higher strike price than $125, I do not remember the strike price. However, the basic point I am trying to make is, GS needs TSLA to stay under $125 so the option expires worthless and Musk needs TSLA to stay above $125 to keep the shares from being diluted.
Musk made a risky bet with Goldman. It will be interesting to see how this all plays out, but if I was a betting man, I think Goldman Sachs will win, because Goldman never loses.
As someone who does analytical and simulation work for a living, I agree 100% with Intel. All of our servers and current servers in construction with tens of thousands of processors for high performance computing are all running Intel processors. These servers cost well into the hundreds of millions to build and hundreds of thousands/year to maintain. Why do we use Intel? because they are the fastest processors on the market and yield the fastest turnaround time on simulations that I work on. Until some other company makes a better processor, Intel is the go to company for computing in any industry. That being said, it is quite possible that GPU's may replace CPU's in the future if software developers figure out how to build programs that can run well on them. So there is some risk to Intel in their futures, but until then Intel all the way.
P.S: I am currently have no position in Intel
The thing is, zzaxby, I waited a long long time before making this bet. I sat and waited as the market continued to make new highs. I waited until the confirmation signal to go short when we sold off on quite large volume. This is the 4th time we head faked . At some point we will not head fake and the bulls will get their faces ripped off. The problem is, no one knows when.
I cant go long because we are extremely overbought, and you cant go short either because shorts keep getting whipsawed.
The problem is, they can keep biding it higher and higher for another year because the Fed wont stop printing until next year. I thought that last dip in June was the signal of the market top. We sold off on heavy volume and it had all the technical indicators of a top, but the banks just kept gaping it up higher and higher and higher every day. Guess I am going to have to change my trading strategy because I have no idea where this market is going.... Maybe start selling spreads or something...
Shorted once at 94 and doubled down at 99. I cant afford to lose any more money this year. Guess I am gonna go back into my bear cave and lick my wounds and try again next year.
You know, I dont get it. Why are small caps out performing the broad markets? Makes no sense to me.
How many of you bulls are now trapped at the top?
As a younger person myself, I can assure you Millennials want those things just like the boomers, they just dont have any money. The suffering that our government and the boomers has caused the millennials is unforgivable.
The greatest generation left their children with good paying jobs with high wages, heavily regulated markets to keep markets fair, and with fair taxation. The boomers left their children Mcjobs with no health care and unaffordable education and unregulated markets. Good job boomers!
And for those boomers who think millennials are lazy, most of the millennials I know work very hard, some of them 3 jobs. They all huddle together in a small 2 bed apartment, the ones that dont live at home that is, and share the rent. It is really sick what is going on right now.
Day after day for the last week the entire market has been run by futures. We gap up and stay flat all day... Next day we gap up and do the exact same thing for 6 days now. Look at the daily chart for the last month. All doji's this entire run up in the markets has been entirely based on futures.
How long can they keep pumping the futures like this?
It is all over the place. It starts at -1% then rallies up to +1.3% and then crashes all the way back down. Its like every rally is sold into heavily. I guess no one wants to hold this stock anymore?
I will give the bulls some kudos here! I am down about 20% on my puts, but I do not give up that easily. This persistent bear will add to his position.
Wow 100% of your net worth? thats a ballsy bet. I am short also, but with only about 3 grand worth of 6 month OTM options on a few stocks and IWM. I would never bet the farm on a short position. However, I hope it works out for you, and me for that matter. I have been short since mid May.
Did you back up the truck and use margin to add to you longs on Friday? Boy I hope so! You need to buy every dip until your margin is maxed out.
Anyone buying stocks at record highs is a moron! You will soon be paying out this years Christmas bonus to all the big banks with your life savings. Hopefully you will use all your magin so that when we have a huge gap down you will not only be paying out those bonuses with ur life savings, but working at Walmart for the rest of your life paying back the broker you borrowed the money from.
Hey troll! What the hell kind of post is this? If you don't have anything nice to say or a valid criticism then don't post at all.
I hope he loses everything, the man is a #$%$. However, It probably won't happen because he's got billions and even if he loses 90% of his wealth he will still have more money than any of use will see in a lifetime.
Yes, there are some people/institutions that have had margin calls in the futures market after yesterdays action.
PS: I really hope John Paulson loses everything on his gold trade.