[Weekend Summary]
Dear Member,
Not a bad week overall even though I took my first loss in some time. My bear call spread on AMR where I had sold the May 11 calls and bought the May 12 calls had to be closed when AMR shot up through resistance with only a day left before expiration. One of the things I really like about spreads is that they limit losses and, in this case, my net loss before commissions wound up being only 45 cents a share. While I hate losses, I can live with that size. Had I not been in a spread, but been short the 11 calls, the loss would have been aboiut $1.42 a share.
I opened a bull put spread on MMM this week, selling the 75 puts and buying the 70's as a protective leg. This play brought in 95 cents a share before commissions. The 35/32.50 bull put spread on Apple Computers (AAPL) still looks good to me.
Siebel Systems (SEBL) had a pretty flat week and the May 10 call options I had sold for income expired worthless so I got to keep all of the 25 cents a share I took in when I opened that covered position. I still own the '07 12.50 LEAPS calls.
Both EBAY and YHOO had good weeks. YHOO broke through and has held above resistance which bodes well for my '07 35 LEAPS calls. EBAY has moved gradually upward and closed slightly above resistance today.
Nanometrics (NANO) moved up almost a buck this week and that lessened the loss on the Jun 12.50 calls I have. Nextel (NXTL) had a good week and that helped the Aug 30 calls.
Briggs and Stratton (BGG) also moved well -- up almost $1.50 for the week. I am still short the July 40 naked puts. My condor on AMD has not yet needed any adjustment so I like what I see so far.
Micron (MU) was flat for the week, closing at 10.54. I have the '07 10 LEAPS calls.
The Dow 30, Nasdaq and SP-500 all had reasonably bullish weeks, but stopped today right at resistance levels. Next week should prove to be very interesting.
Have a good weekend and good trading.
Bill
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