[Weekend Summary]
Dear Member:
Wednesday gave some reason to believe that the jump the preceding Wednesday and Thursday could really have been the first sign of a turn back up. However, this Thursday and Friday just took it back. So far, I remain in the bear camp with some specific stocks providing exceptions. In fact, it would not surprise me if the Nasdaq, DJ30 and SP-500 retreated as far as last October's lows (around 2050,10250 and 1180 respectively).
In the face of that, I did make some moves this week. On the 19th, I sent my alert about selling the Jul 180 calls on BBH against my Jan 200 calls. Today, I closed the Jul 180 leg and enjoyed a $1.05 a share profit before commission on that leg. I also bought to close the December 6 calls on Sirius Satellite Radio (SIRI) as the stock moved up over 6.5% today. That transaction yielded a small gain, and I still own the Jan '08 2.50 LEAPS calls. I should have the opportunity to sell calls several times if I stay in the underlying position. SIRI's upward move today was on very strong volume and may signal a much greater move.
For the moment, I am satisfied with my bearish positions on DIA and the Q's. I am watching to see whether the DIA spread needs to be adjustment and whether I want to create a bull put spread on QQQQ by selling some puts against my long put position. So far, as I noted in the introductory paragraph, I don't see a reason to be bullish as yet.
At the moment, I'm not doing anything with the spreads on Micron (MU) or the tech ETF (XLK). I'm just letting the Conoco Phillips (COP) straddle do what straddles do.
In the meantime, I'm looking for a spot to sell some shorter term calls to create a spread against my long term SPY calls.
Have a great weekend.
Bill
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