[Buying LEAPS calls on Broadcom (BRCM)/Buying Jan '06 $40 LEAPS calls (WGJAH)/Limit $2.80 for the day]
Dear Member,
Broadcom (BRCM) is scheduled to announce earnings on Oct 14th and I am looking for a bounce coming into that announcement. It has positively divergent short term money flow and has formed a double bounce off a short term trend line. I am placing an order to buy the Jan '06 $40 LEAPS calls (WGJAH) at a limit of $2.80. If the stock turns down against me, my initial stop is contingent on the stock going below $26.22.
DISCLOSURE: At the time of publication, I have no position in the referenced options or the underlying stock.
Sincerely,
Bill Kraft
CutLoss, Inc.
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