Peanut's Potent Plethora of Profit

[peanuts]

Under Armour (UA)

UA reports earnings tomorrow. They can go one way or the other. This has been experiencing a short squeeze over the last month. I think there is an opportunity for an option straddle play here. Does anyone have suggestions to play some options on Under Armour? Thanks

This is a holding of mine in the MOMO portfolio, so my bias is long... but UA disspointed last time it reprted earnings....

[peanuts]

UA reports earnings tomorrow. They can go one way or the other. This has been experiencing a short squeeze over the last month. I think there is an opportunity for an option straddle play here. Does anyone have suggestions to play some options on Under Armour? Thanks

This is a holding of mine in the MOMO portfolio, so my bias is long... but UA disspointed last time it reprted earnings....

OK, since no ideas, yet... I'll paper trade this:

bought 10 Oct $55 puts for $4.40

bought 10 Oct $50 calls for $7.50

let's see if this will work...

[peanuts]

Under Armour option straddle

OK, since no ideas, yet... I'll paper trade this:

bought 10 Oct $55 puts for $4.40

bought 10 Oct $50 calls for $7.50

let's see if this will work...

UA reported outstanding earnings and raised guidance. It is up +17% in the pre-market to $65.00

Did anyone play the options? Looks like the straddle was a good idea!

[peanuts]

options options options

UA reported outstanding earnings and raised guidance. It is up +17% in the pre-market to $65.00

Did anyone play the options? Looks like the straddle was a good idea!

This is what would have happened had you done in real life what I did on paper:

buy 10 $55 puts @ $4.40 = $4,400.00 cost
buy 10 $50 calls @ $7.50 = $7,500.00 cost
total cost = $11,900.00

next day after earning report:

sell 10 $55 puts @ $1.90 = $1,900.00 realization
sell 7 $50 calls @ 14.60 = $10,220.00 realization
total realization = $12,100.00

Net gain of $200 cash plus you would still be holding 3 $50 OCT calls (current value of $4,380) ... so the total return, if you sell the remaining calls, is $4,580.00 or 38.49% on the total investment of $11,900.00... geez, that's better then the 15.25% gain in the common stock, and it would have taken less capital

Not a bad one-day investment, huh?


GLF reports earnings tomorrow

[riverbabe]

This is what would have happened had you done in real life what I did on paper:

Net gain of $200 cash plus you would still be holding 3 $50 OCT calls (current value of $4,380) ... so the total return, if you sell the remaining calls, is $4,580.00 or 38.49% on the total investment of $11,900.00... geez, that's better then the 15.25% gain in the common stock, and it would have taken less capital

Not a bad one-day investment, huh?


GLF reports earnings tomorrow

'Tis the very reason I did take LULU in the POTW, sweet pea. (There's method in my madness, especially the madness incurred by getting TASR-zapped last week!) I just have to look at your picture again to get sane! Ah, what a picture, what picture...! River

[peanuts]

the peanuts straddle

GLF reports earnings tomorrow

and the report

ho hum.... this is getting annoying. Anyone home? Seems like instead of looking for ways to make money from the current market, everyone wants to try to predict where it is going.... waste of time, in my opinion

UA straddle worked great!
GLF straddle worked great!
Market soothsayers not making money!

What will I come up with next?

hmmmm.... let's see..... MR reports on Monday, Aug 6

[peanuts]

The Market

For the first time ever, I want to be a bear.

This is simply aweful, and I have absolutely no idea why it is happening now. Are investors afraid of DOW 14K? Is the mortgage / subprime problem going to get worse? Is the average P/E really too high?

I have lost more value in my portfolios lately than I care to even think of. My day-trading account has suffered the worst losses ever. My long term holdings have erased approx 13% since their high just 3 weeks ago. My MOMO portfolio's current performance in abysmal with 2 big losers: SYNL and CNS, and a decent winner in UA. Options have been my only source of good trades.

This market is unpredictable, it's random, it's unforgiving. The last 10 minutes of this week's weak market has me debating whether I should sell it all, book the losses, and start over....

Could this be the bottom?

[peanuts]

Here's something to consider over the weekend:

[riverbabe]

Hi! Riverbabe

[skiracer]

Here's something to consider over the weekend:

It seems to be such a volitaile market right now peanuts. if it breaks that trendline to the downside right where is sits then it might be alot more of a bearish market. but everytime the bears or news forces it down alot one day the bulls seems to come back in strong the following day to recoup the losses and push it back up. but those were nice plays on the straddles if you made them.

[peanuts]

It seems to be such a volitaile market right now peanuts. if it breaks that trendline to the downside right where is sits then it might be alot more of a bearish market. but everytime the bears or news forces it down alot one day the bulls seems to come back in strong the following day to recoup the losses and push it back up. but those were nice plays on the straddles if you made them.

I think you're right, Ski. The way I look at it, if the market action takes it strongly below that neckline, then bulls are in trouble. But if it bounces off of the neckline, and confirms the SHS pattern, then the bulls might be happy over the next few weeks.

There has been a good fight ongoing over the previous few weeks between the bulls and bears, just as you said. The volatility has been a scalpers dream, and a perfect market to play straddles on news events. I did play quite a few and profitted on most. I currently still have one that I've held for two weeks who's common price is still between strikes and I am losing money on both sides over the time that I've been holding. Both sides of the options have been positive for a time, but then just as the move seems to want to continue higher or lower, the price reverses and the options are in the red again.... with the price staying between the strikes. This has been the negative side of the plays- the time value eating away the initial investment.

Personally, I won't be playing them this week, but there are 4 to consider: Monday- SHFL, Tuesday- BRLC, Wednesday- SHRP and JOSB

[skiracer]

I think you're right, Ski. The way I look at it, if the market action takes it strongly below that neckline, then bulls are in trouble. But if it bounces off of the neckline, and confirms the SHS pattern, then the bulls might be happy over the next few weeks.

There has been a good fight ongoing over the previous few weeks between the bulls and bears, just as you said. The volatility has been a scalpers dream, and a perfect market to play straddles on news events. I did play quite a few and profitted on most. I currently still have one that I've held for two weeks who's common price is still between strikes and I am losing money on both sides over the time that I've been holding. Both sides of the options have been positive for a time, but then just as the move seems to want to continue higher or lower, the price reverses and the options are in the red again.... with the price staying between the strikes. This has been the negative side of the plays- the time value eating away the initial investment.

Personally, I won't be playing them this week, but there are 4 to consider: Monday- SHFL, Tuesday- BRLC, Wednesday- SHRP and JOSB

i'm holding two longer term positions in GLD and TASR and some call options in MSFT, which are getting killed, and have not been doing any trading in these markets over the last few weeks. just to volitaile and no clear direction to hold any swing trade positions over even a short time frame. i'm staying out of it for the time being. i'll look at these 4 and let you know what i think.

[peanuts]

Here's something to consider over the weekend:

I like how Seinfeld ended the show at its pinnacle.

Zbohom

[peanuts]

sell steel

...
What I was hoping for, and I do seem to be failing miserably with this, was to open some members' eyes to the Steel Industry here. I'm not sure that people realize what is going on in the industrial sector, and I thought I could help some people make some money off of the very strong performance in this and related sectors. If one person gained anything from what I have posted, I'll be happy.

I wasn't targeting a certain performance for the PSI for 2007, but I wanted to track it as a whole and hopefully offer some insight to the underlying factors of our economy. My statement of "up 14.5% in 3 months" was an attempt to hopefully have some members dig a little deeper into what I am trying to convey here- you know, invoke a thought process and hopefully some dialogue. Unfortunately, my attempts are met with poor results time and time again. Or at least, IF someone did gain anything from this, I did not hear about it. But, I do appreciate your response, Spike.

Now is a great time to take profits from your investments in the steel industry!

This is my last post regarding the steel industry. Nobody was interested in my thoughts in the first place. The PSI has increased 437% in a little more than 2 years. That is a group of 52 stocks that were simply bought and held.

I will now be focusing on the electricity generation and transmission industry. The Peanuts Electricity Index will be posted at some point in the near future. How many people are interested in the PEI?

[billyjoe]

Peanuts,
I'm interested in the PEI and also the PGI (peanuts gas index) Heard on Paul Harvey today (so it's got to be true) that natural gas speculators or are they employees? are buying rights for $5 an acre and 12% royalties whenland owners should be getting $300 per acre and 15% royalties. You know more about gas than anyone in these parts. What say you?

-------------billy