Monday Recap
Posted on December 3rd, 2007 by Peter
Longs:
| Position | Price | Paid | All time high | Stop | Rule |
| C Jan’10 30 Call | 8.65 | 7.9 | 9.05 | 7.24 | 80% |
| PCP Jan’9 140 Call | 35.5 | 29.7 | 35.5 | 28.4 | 80% |
| MRVL May 12.5 Call | 3.6 | 3.57 | 3.7 | 2.96 | 80% |
| IMCL Jan’8 40 C | 5.8 | 5.82 | 6.03 | 5.42 | 90% |
Shorts:
| Position | Price | Paid | All time low | Stop |
| PCP Jan’8 145 Caller | 13.1 | 7.7 | 9.7 | 11.64 |
| PCP Jan’8 150 Caller | 10.05 | 9.9 | 9.9 | 11.88 |
New Position
PCP took off a bunch today, towards the high end (150+) of my trading range for them (150+). So I sold the second half of the PCP position in Jan’8 150 calls to protect those gains. I may forgo some future gains because of this, but the two callers together have paid for 29% of my PCP position.
NOTE: PCP’s earnings are Jan 21. I generally wouldn’t want to be 100% covered in a stock I like at earnings.
Commentary
My first PCP caller has exceeded the stop. I should have sold it by now, but can’t thanks to my employer’s rules. It’s not entirely bad though, as this is a hedged position against long PCP leaps and at the worst case, I can roll it to a Feb caller after the 30 days have expired.
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