Seeking Alpha
  • neobliviscar
    Hedging: bought 200 of the SDS $16 calls. Paid for it selling 50 of the SDS $14 puts. Net cost: $265 <total>. Options too cheap currently
    8/21/12
    Reply (7)
    • neobliviscar: This is tail risk hedge out 1 month. Market run up is just too much to leave on the table. Cash heavy now, scratching 4 fair value cyclicals
      8/21/12
    • pollyserial: Fair value cyclicals as in getting together a list to buy after a correction? I hope you'll post your moves.
      8/21/12
    • neobliviscar: Read the link to the JPM publication I posted. I don't agree with all them. Got to scratch around for a bit. Also see other thread replies.
      8/21/12
    • neobliviscar: Be careful, as this market reeks of bad mojo. (thin volumes, politicians, and excessive algo trading).
      8/21/12
    • pollyserial: that's my feeling as well. i'm looking to add spy puts before the end of the month. and would suspect cyclicals will tank short term?
      8/21/12
    • pollyserial: ie CAT is a holding of mine but I'm looking to trim rather than add; it's been on a (QE-based?) tear of late but I look for it to pull back.
      8/21/12
    • neobliviscar: Accordian contractions...what contracts more relative to others. Hard as nails to find value now. ps. I am lousy at timing CAT, so I avoid.
      8/21/12