Covered 1000 shs of Baron Energy (OTCBB: BROE) at $0.26
As we speculated, stock pumping failed.
stock down 22.6%
its unfortunate that we were only able to short 1000 shares.
we decided to exit our position
P&L + $60
Shorted 1000 shs of Baron Energy (OTCBB: BROE) @ $0.32
Stock Preacher is trying to pump up this stock with its buy alert today.
looking at its chart there had been pre-pump buying for the past few days before the alert was sent today.
daily chart doesnt look heathy as it opened high at 38 cents and then they started to dump the shares.
keeping our stop loss tight
Risk: more pumping from stock promoter.
Target: 25 cents
Stop Loss: 38 cents.
Sold 2×100 Research in Motion (RIMM) Jun10 $60 Straddle @ $4.28
we believe RIMM is bottoming out at around 60 and it should be consolidating at this level.
front month vol has gone up a little but
net credited 200 x $4.28 = $856
Max profit : $856 – commission
Max loss : infinite
Breakeven Prices: $55.37 & $64.28
Theta is generating about $20 per day.
Risk: Rises in Volality, Market Panic , Market Rally.
Sold 1 x 100 GS July $165 Call @ 1.35
To lower our upside exposure, we decided to sell 1 contract.
now we are Shorting 4 June $165 Call and Longing 3 July $165 Call
our strategy to limit our loss while maintaining an optionality to upside exposure would be letting the June $165 Call to expired, then Short either 3×100 $170 Call or 6×100 $175 Call.
that way would be ended up holding a 1 by 1 Call spread or 1 by 2 Call Spread.
we will see how it goes towards the june expiry.
P&L -$346.60
Sold 10×100 Citigroup May $4 Put @ $0.15
probably short squeeze, to play safe we sold half of our half which will be expiring in 15 days.
we should have sold it 2 days ago when C went down to $3.85 but we believed C is having a Head-and-Shoulder Pattern
however, we forgot to realize that theta is also killing the option.
bad mistake for being too greedy.
P&L - $40
