[Stopped out of Pulte (PHM) Puts/Sold Jan 42.50 Puts (PHMMO) for $2.70]
Dear Member,
My contingent stop was hit on the Jan 42.50 Puts (PHMMO) on Pulte (PHM) and they were sold for $2.70. My basis after the split was $4.20 so I lost $1.50. Turned out to be a really bad trade, especially, when yesterday looked like it was the start of another downward move. If I were going to be around, I'd consider entering the play bullish now.
In a little while, I will be sending another alert with the location of my stops as they well be placed while I am travelling for the next couple of weeks. I won't be trading during that time, and, as you know, there will be no charge to anyone for the month of September.
If you are in positions where the stock is moving in a favorable direction, you may want to consider moving your stops up (or down if in a bearish play)as the stock moves.
DISCLOSURE: At the time of publication, I have no position in the referenced options or the underlying stock.
Sincerely,
Bill Kraft for
CutLoss, Inc.
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