this is from 25 Feb that island reversal play has worked out as planned, w the credit spread expiring worthless, sold 2 more bullish PUT spread, one has expired worthless, the other is deep itm had also constructed a bullish diagonal CALL spread using Jan 2023 CALL as the long leg on Fri, IBM popped thru the upper trading channel, perhaps this news development had something to do with it Raise Green, an impact investment marketplace for clean energy projects, announced their collaboration to develop Raise, its software solution deployed using Red Hat OpenShift on IBM Cloud, intended to empower any entrepreneur to start their own community solar energy businesses.
https://www.sec.gov/ix?doc=/Archives/edgar/data/1579982/000110465921042507/tm2110363-5_497.htm Ark update to fund prospectuses. Will now buy spac warrants as well.
Archegos got margin called and forced a multibillion dollar fire sale. Expect a tighter lending regime when slr requirements are reinstated on the first of april. Volatility +++ https://www.forbes.com/sites/robert...ing-archegos-fire-sale-banking-stocks-tumble/ Chinese stocks and its synthetic American derivatives not looking good rn.
Archegos, is thought to be linked to the sell-off of several prominent U.S. media and Chinese technology stocks last week, including Baidu, Tencent, Discovery and ViacomCBS. ViacomCBS and Discovery slid almost 30% in a single day Friday and each closed out nearly 50% lower than at the start of the week. Over the course of the week, Baidu and Tencent dropped 18% and 33% respectively. Despite Archegos holding tens of billions of dollars of exposure to publicly traded companies, it has made almost no financial disclosures. Thanks to its status as a “family office,” it does not appear to be subject to the Securities and Exchange Commission’s reporting requirements. Other banks with ties to Archegos are worth monitoring. The FT names Goldman Sachs, Morgan Stanley and UBS, alongside Credit Suisse and Nomura, as institutions to have provided brokerage services. Bloomberg reports Goldman Sachs’ losses to most likely be “immaterial,” citing a person familiar with the matter.
Tencent's recent price action made me take a hard relook, considered selling but decided to hold for now. Multiples are similar to US big tech and they have a lot of stakes in high growth companies (including tsla) that don't show up in the earnings column. Hope I'm not making a mistake. 2 long term headwinds for China tech I think are digital yuan (could cut alipay wechat pay revenue) and the data sharing thing. A lot of uncertainty, but these are still growing and profitable companies.
The next rotation - what will it be? Where are you guys putting your $? Is infra overdone already? What's the next one after that? Back to tech? Uranium? Near bankrupt companies? Some crypto dumber than NFTs?
last wed when was ~ 68 next ERS is ~13 May i see a "W" bouncing off the low trading channel. 20 dma ~ 75.5 32% retracement level ~ 83.3 bought a 10-pt BULLISH CALL spread, 21 May exp bto 70 CALL, sto 80 CALL; net cost $3.8 (max risk), max profit ~$6.4
Wow, thanks for sharing. I guess I'm still stuck in a defensive mindset, besides aapl leaps (and those are in the red as well) haven't really thought of calls for a long time. My only good play ytd was buying pavm shares on ceo insider buying and analyst upgrade. Up 20% in a day then sold covered calls. Everything else was sideways or down.
@adoo great call on sdgr. selling pressure last week was due to shaw. sold 150k shares in a few days. 8m more shares to go.... https://www.sec.gov/Archives/edgar/data/0001490978/000120919121022925/xslF345X03/doc4.xml
NIO had dropped from 67 to 35. near the 61.8 retracement level. forming a "W" ` the low trading channel, but the bounce coneinue ? but still below 20 dma (~40) IV ~ 75, so the options are super expensive. gonna sell a bullish PUT spread, May expiration, as a scouting mission to see if the up move has legs bto 36 put, sto 41 put collecting a premum of $2.55. defining my max risk of 2.45 should trading break thru the 20 dma of ~ 40, i'll load up w bullish call spreads
looking thru my lists, seems like a lot of the stocks that did well dipped at close; people still nervous to hold overnight? hopefully this is more than a one day thing.
