Seeking Alpha
  • campusglass
    considering trying to scalp AAL. but too scared. wimp
    12/7/11
    Reply (17)
    • fla6987: Too late Campus - but i thought the same thing yesterday and is up 30% in my face...
      12/7/11
    • campusglass: Idk. i thought about buying at .20 posted and didnt. HATE THAT SHIZ
      12/7/11
    • Michael Verd: question, why should i not short this?
      12/7/11
    • campusglass: Michael i am not the person to answer that. Id imagine hard to borrow. and if shares halted can you cover? IDK enough about bankruptcies
      12/7/11
    • Michael Verd: i was thinking of buying a small number of 0.50 december puts currently trading at 0.06 cents/share.
      12/7/11
    • campusglass: I think options on it are risky. If shares halted can you sell? need to be able to transfer a paper gain to real $
      12/7/11
    • Michael Verd: good point, i don't know. at the same time, the shares are going to swing wildly, a 40% crash in one day seems plausible
      12/7/11
    • campusglass: Very. just dnt want a -100% return. Risk reward wasnt there for me.
      12/7/11
    • Michael Verd: the puts seem much better than shorting it since they can only go to zero.
      12/7/11
    • campusglass: yeah. but a 100% loss is still a 100% loss. im not waasting my time.
      12/7/11
    • Michael Verd: btw. i actually did this yesterday, bought dec .50 puts at 0.06 and sold them an hour later for 0.10. i just was wondering if this was dumb.
      12/7/11
    • campusglass: I dont think its dumb at all. Just with a small portfolio like mine. hard to make back big losses. cant f with that. Congrats on the trade.
      12/7/11
    • Michael Verd: thanks, they're now trading at 0.03 cents each. i think ill go in for $300 and set a sell order at 0.09 cents each and see what happens.
      12/7/11
    • campusglass: Yup. Goodluck.
      12/7/11
    • Michael Verd: you too.
      12/7/11
    • campusglass: Post how that play goes for you i think youll do well with it.
      12/7/11
    • Michael Verd: it went almost perfectly but still very well. i bought 75 dec $0.50 puts @ $0.04 each and sold them for $0.09.
      12/7/11