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Thursday, July 8, 2010
Please remember, ALL “Exit Targets” and “Stop Targets” are targets. You should not have any “Hard Stops” entered to close any trades or “Exit Orders” in your brokerage account. We will send out an “Alert” or “Trade Update” if we want you to close a position OR if a new trade comes out. Otherwise, follow instructions at all times in the 9am and 1pm updates. Also, we will usually give you a heads-up if we think we are going to send an email outside of these time frames but it is rare that we do.
1:35pm (EST)
Amazon.com (AMZN, $116.25, up $2.82)
July 100 puts (AMZN100717P00100000, $0.15, down $0.20)
Entry Price: $1.12 (6/30/10)
Exit Target: $2.25
Return: -82%
Stop Target: None
Action: Amazon is having a huge reversal and we got trapped with this one. For now. We still have Friday and all of next week so anything can happen. July option expiration days can be nasty.
PowerShares QQQ (QQQQ, $43.90, down $0.06)
August 41 puts (QQQQ100821P00041000, $0.75, down $0.45)
Entry Price: $1.10 (6/29/10)
Exit Target: $2.20
Return: -32%
Stop Target: $1.00
Action: Continue to hold.
Green Mountain Coffee Roasters (GMCR, $26.50, down $0.10)
September 30 calls (GMCR100918C00030000, $1.05, flat)
Entry Price: $1.47 (6/21/10)
Exit Target: $3.00
Return: -29%
Stop Target: 75 cents
Action: Continue to hold.
Las Vegas Sands (LVS, $22.72, down $0.23)
July 22 puts (LVS100717P00022000, $0.55, flat)
Entry Price: $1.20 (6/9/10)
Exit Target: $2.40 (closed half at $1.65 on 7/2/10)
Return: -8%
Stop Target: 60 cents
Action: LVS is still acting like it will trade $20 or below so we are going to push the other half.
Qualcomm (QCOM, $33.86, up $0.47)
July 34 puts (QCOM100717P00034000, $0.75, down $0.30)
Entry Price: $1.08 (6/1/10)
Exit Target: $2.00+ (closed half at $2.15 on 7/1/10)
Return: 42%
Stop Target: 50 cents
Action: Close the other half if the puts trade below 50 cents.
Other 2010 Portfolio OPEN positions (4): These are trades that are still open in the portfolio that have longer expiration dates or are on “hold” but are not worth mentioning until they turn around. We are still keeping track of the trade and we will record the results, accordingly, when we close them or they expire. Click on the 2010 Portfolio link in the Members Area to view ALL open/ closed trades.
Berkshire Hathaway Class B, F5 Networks, Moody’s, SanDisk
WATCH LIST SECTION
These trades are NOT recommendations until we send out an alert. These are trades that we like but have not added to the portfolio as an official recommendation because of market conditions or because we are waiting for better entry prices. We will not list entry prices because these stocks are on the verge of breaking out or they could selloff.
We will update this section in the morning.
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9:00am (EST)
Amazon.com (AMZN, $113.43, up $3.37)
July 100 puts (AMZN100717P00100000, $0.35, down $0.40)
Entry Price: $1.12 (6/30/10)
Exit Target: $2.25
Return: -69%
Stop Target: None
Action: The puts could take another hit at the open as AMZN is showing a bid of $114 in pre-market trading. The premium on the puts will likely drop to 20 cents, so it doesn’t make sense to close the position when we still have a chance to see $100. Continue to hold.
PowerShares QQQ (QQQQ, $43.96, up $1.36)
August 41 puts (QQQQ100821P00041000, $0.75, down $0.45)
Entry Price: $1.10 (6/29/10)
Exit Target: $2.20
Return: -32%
Stop Target: $1.00
July 45 puts (QQQQ100717P00045000, $1.30, down $1.10)
Entry Price: $1.50 (6/2/10)
Exit Target: $3.00+ (closed half at $2.90 on 7/1, half at $1.50 on 7/7/10)
Return: 47%
Stop Target: $1.50
Action: The July puts were closed once the $1.50 stop was hit and should have been closed yesterday during the rally. We still have the August put options and our near-term target for the Q’s is $40, high $30’s.
Green Mountain Coffee Roasters (GMCR, $26.60, up $0.78)
September 30 calls (GMCR100918C00030000, $1.05, up $0.10)
Entry Price: $1.47 (6/21/10)
Exit Target: $3.00
Return: -29%
Stop Target: 75 cents
Action: Continue to hold.
Las Vegas Sands (LVS, $22.95, up $1.36)
July 22 puts (LVS100717P00022000, $0.55, down $0.75)
Entry Price: $1.20 (6/9/10)
Exit Target: $2.40 (closed half at $1.65 on 7/2/10)
Return: -8%
Stop Target: 60 cents
Action: LVS is still acting like it will trade $20 or below so we are going to push the other half.
Qualcomm (QCOM, $33.38, up $0.73)
July 34 puts (QCOM100717P00034000, $1.05, down $0.60)
Entry Price: $1.08 (6/1/10)
Exit Target: $2.00+ (closed half at $2.15 on 7/1/10)
Return: 48%
Stop Target: $1.50 cents, lower to 50 cents
Action: Close the other half if the puts trade below 50 cents.
Other 2010 Portfolio OPEN positions (4): These are trades that are still open in the portfolio that have longer expiration dates or are on “hold” but are not worth mentioning until they turn around. We are still keeping track of the trade and we will record the results, accordingly, when we close them or they expire. Click on the 2010 Portfolio link in the Members Area to view ALL open/ closed trades.
Berkshire Hathaway Class B, F5 Networks, Moody’s, SanDisk
WATCH LIST SECTION
These trades are NOT recommendations until we send out an alert. These are trades that we like but have not added to the portfolio as an official recommendation because of market conditions or because we are waiting for better entry prices. We will not list entry prices because these stocks are on the verge of breaking out or they could selloff.
CurrencyShares Euro Trust (FXE, $126.01, up $0.21)
August 120 puts (FXE100821P00120000, $0.50, down $0.10)
Action: We are getting near the $127 area which is where we are looking to go short. We may have to move up on a higher put option though.
Toyota Motor (TM, $71.00, up $0.97)
August 65 puts (TM100821P00065000, $0.80, down $0.30)
Action: We are getting close to pulling the trigger. If shares can get to $72 then we might add these puts.
OpenTable (OPEN, $43.20, up $2.36)
August 35 puts (OPEN100821P00035000, $1.00, down $0.30)
Action: Continue to watch.
Dendreon (DNDN, $29.09, up $1.78)
August 25 puts (DNDN100821P00025000, $1.70, down$0.30)
Action: Continue to watch.
Alcoa (AA, $10.55, up $0.34)
July 9 puts (AA100717P00009000, $0.06, down $0.03)
August 9 puts (AA100821P00009000, $0.20, down $0.09)
Action: Continue to watch.
CBOE Holdings (CBOE, $29.23, down $0.57)
September 35 calls (CBOE100917C00035000, $0.80, flat)
December 35 calls (CBOE101217C00035000, $1.60, flat)
Action: Continue to watch.
