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Phil's Wild Day Trades

|Includes: Apple Inc. (AAPL), GLL, QQQ, TBT, TNA

During options expiration week at PSW, we often enjoy a little day trading as the premiums get lower and we can get great leverage for little commitment. 

Here are Phil's morning Alerts and comments to Members in a wild 2.5 hours of trading this morning, making money in both directions:

PhilJune 17th, 2010 at 9:37 am |

Good morning!

Wow, look at WGO!  Brilliant call by David

Same old levels to watch but now it would be TERRIBLE to lose any of them:  Dow 10,250, S&P 1,100, Nas 2,260, NYSE 6,820 and Russell 666.  We really want to see NYSE 7,000 to get a little more comfortable (now 6,993). 

GLL July $37 puts can be sold for $1.20, I like that play on gold going lower

AAPL is up at the $270 mark where they make a temping short but I’d rather short the Nas with the QQQQ July $46 puts at .85 as it’s not as likely to kill you as AAPL is!

Major data at 10 am so we may give up on shorts as quickly as that - mostly just protecting our gains.  

Oh yeah, DIA Matress play (Sept $105 puts) can now be naked until we cross 7,000 on NYSE.

PhilJune 17th, 2010 at 9:50 am |

Whee already!  Nasty momentum if our 10am reports suck

AAPL June $270s can be sold for $3.10, 5 sales for $1,550 and buying 3 July $280s to cover at $6.75 ($2,025).  If AAPL goes higher, you have to buy 2 more July $280s and roll into a vertical with the $290s.

PhilJune 17th, 2010 at 10:03 am |  

Philly Fed was TERRIBLE!!!   8 down from 21.4 - total disaster, LOVING THE SHORTS!  No need to have the July AAPL calls, naked short calls should work.

May Leading Indicators: Leading Index +0.4% vs. +0.6% expected, -0.1% prior. Coincident Index +0.4% vs. +0.3% prior. Lagging Index -0.1% vs. +0.1% prior.

PhilJune 17th, 2010 at 10:12 am

Oh well, they are using AAPL to prop up the Nasdaq at the moment.  Now spread is $7.35 for the July $280s and $4 for the short June $270s - still very nice but scarier looking!

TBT/RMM - They are always a buy below $40.  $38.50 seems to be the new floor and I do like selling July $38 puts for $1.

PhilJune 17th, 2010 at 10:37 am |

I’m done with short plays here.  Not going long but that’s a lot of money already and I’m not greedy.  We’ll see if we hold this 1% dip first.

Phil  - June 17th, 2010 at 10:41 am |

QQQQs hit $1.05 so tha’ts very nice, GLL I still like, AAPL I’m willing to be naked short on the $270 calls but now a stop if AAPL gets back over $270.50, TBT right on our floor (hopefully).

DIA Matress should be 1/2 coverd with July $103 puts at $2.30.

Phil  - June 17th, 2010 at 10:57 am |

Staws/Kinki - No camels backs are broken yet.  This is a two hump market and we just dipped between them.  We expected a 1% pullback to the 5% line after a 6% run - perfedctly normal.  The reasons don’t matter that much in this case

Now I like TNA $47 calls at $1.20, stop if RUT fails 660.

PhilJune 17th, 2010 at 11:30 am |

Copper/Dez - Good point, took a nice bounce off $2.90 and makes a tempting long here!

Actually, that’s a good idea.  Copper futures (/HG) at $2.9085 with a stop at 2.8890 - keep in mind copper is $12.50 per .0005!

PhilJune 17th, 2010 at 11:54 am |

Done with TNA at $1.60 - just scalping dimes today.

PhilJune 17th, 2010 at 12:08 pm |

Oh, copper stopped out of course, bounced back off $2.92! - Another reason to stop being long again.  


Disclosure: Positions as indicated but subject to change.