I want to do a little trade management on a couple of the trades I put on Friday morning. I expressed my near-term bullish views in common stock because it just seemed the easiest way to play the turn…..I now want to define my risk and use profits to do so……
MS: I am selling the MS common stock that I bought Friday at 17.25 and replacing with a Sept 18/20 Call Spread for .44, Stock acts fairly poorly relative to its peers, and maybe for a reason……I will use some of my gains to now define my risk.
BAC: Since buying the stock on Friday morning at 7.60 the stock has acted very well and is up almost 9% in one trading day…I am going to sell stock here 8.22 and use some of my gains to replace with a Sept 9/10 call spread for .14
Original Post Aug 26th, 2011 at 12:08pm: Couple Quick Bank Trades
A little bit ago on “Quick Hits” i stated that I was reducing some short term bearish positions and adding some short term bullish positions…..I just reduced my JPM Sept 34/30 Put Spread at .76.
2 TRADES: I bought BAC at 7.60 and bought MS at 16.70…..
If the Market is going to shrug off this sort of news then the banks have to participate, I think there is a good chance that BAC can get back to 8.50 and MS which is just a few % off of the recent lows should go up in Sympathy…..
Also added a Sept Call Spread in AAPL for expected announcement, not release of iPhone 5 in the coming weeks. (read here) and I added some Sprint common stock to my Feb12 4.5/6 call spreadat 3.25 as stated on Quick Hits this morning:
Aug 26 2011, 10:23 AM
I just bought some common stock at 3. 25, right where I bought it on Monday. . . . sold later in the week at 3. 65. . . I am still long Feb 4. 5/ 6 call spread