Old Trader

The Reluctant Bull: My Portfolio

svosavvy,

It certainly sounds like you've got your bases pretty well covered. Great call, as far buying in March! That'll certainly put a spring in your step. Do you ever use LEAPs in your options trading?


On Nov 09 02:23 PM svosavvy wrote:

> Old Trader:
>
> Yes indeed very valid reply, and options are generally not for the
> overly conservative. I become more conservative by the year, but,
> at 32 I fancy myself more of a cowboy. That or a mouse that thinks
> it can take on an elephant (an excerpt from a book my kiddies love).
> I hold pvx in my IRA as well so any shorting in there takes place
> as a put/buy. I do short in my brokerage acct. I have a healthy
> stack of 5 puts in my IRA, I bought when the stock broke 6. Some
> expire in dec some in mar, I am pretty much underwater on these
> nickels and dimes, however, what they represented for me was the
> option to continue being long the stock (and collecting the dist.).
> I was highly interested in selling at 6. I had carried a small position
> into the crash but I backed up the truck in march becoming titanically
> overweight, buying around the 2.50 mark and as a value investor not
> believing my eyes. Basically, I throw a little party every time
> my puts devalue because it means I get to keep the stock I think
> is irrationally high here and if it falls I would sell the purchased
> puts for proceed to cushion my oversized butt instead of exercising
> them. Anyway I think the theme here is a person who is balanced
> or hedged in approach generally tends to sleep better at night.
> Then there's ones in my brokerage acct like AA I've got 10 put/sales
> 17.50 call/sales and the proceeds go toward the underlying position
> which I have no love for. Hedged long pvx aa aci. naked long ed
> ge pwe silver and actual TIPS not the etf. Nakeds hedged with 25%
> cash.