[Weekend Summary]
Dear Member:
Quite a few good things this week. The remaining legs on my condor on Altria (MO), the Apr 80 calls I was long and the Apr 75 calls I was short expired worthless thus allowing me to keep the $0.50 a share profit after adjustments. I did nothing further with my Diamond Offshore (DO) puts so I wound up making 65 cents a share (about 17% return on original risk) from my original bull put spread before commission.
The Apr 190 calls I had sold on the Biotech Hldrs (BBH) expired worthless so I got to keep all of the $1.35 I sold them for (less commission). That brought in income and reduced risk in my long position in the Jan '07 200 calls.
My original Burlington Resource (BR) straddle was converted to Conoco Phillips (COP) options and that straddle is now profitable overall. I am still in both legs.
Morgan Stanley (MS) looks like it may be turning down and that would be good for my Jul 60 puts. You may recall, I originally opened a Jul 60 straddle, but closed the call leg for a profit last week. I'm trying to get the put side to work for me now.
When I perceived that the techs might retrace a bit, I sold the Jan '07 22 calls on XLK for $1.45. Again, that brought in some income and reduced the risk in my Jan '08 15 calls. Even if I were called out at 22, this move should assure a profit overall. In any event, I will try to play the short leg up and down to derive additional profits.
Micron (MU) had a nice little run-up and now has signalled a possible downturn. Right now, either direction is fine with me. If it goes up, I can sit and enjoy my $10/$17.50 bullish call spread. If it drops, I should be able to buy to close the $17.50 leg and profit from that move with the intention of repeating as practicable.
The 120/140 bullish call spread on SPY is essentially in relatively the same pleasant boat as MU, giving me the ability to play the short leg up and down to attempt to reduce risk and add profits to that leg.
I entered a new condor on Unit (UNT) this week for a $1.75 a share credit. Now my job will be to try to keep as much of that as possible. So far, so good.
Sirius Radio (SIRI) is just flatlining along an area of support. Plenty of time on this one.
Have a great weekend.
Bill
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