Moving Toward Cash

I didn't care for the charts Friday with the Russell 2000 topped out and the Nasdaq and S&P Mid-Cap 400 about to start down. Then there were all of the good stocks that were losing their footing. Even VectorVest was signalling caution.

I took some money off of the table here, trimming option positions that are more apt to trail down.

I sold KEG calls in one small account (no option for spread conversion). I put in "execute and sell orders" for HMY and STLD (no liquidity), and sold my calls for SCCO and SPRD.

Flip Flop

I did the opposite of Wednesday's game plan. I sold (to open) March calls to restore bull call spreads on FTK and WPRT. Then I sold my March calls for MYL and WYN netting -0.75% and +12.04% respectively. I'll let MPEL and some others run another week or so. I bought April calls for LGF.

Nice Bounce

WPRT and KEG rebounded somewhat, MPEL is surging ahead, I bought some more March HMY calls, and sold some covered calls.

Perspective

The markets started off great then tanked. Your mood sure hinges on whether you're in a buying mood or fully invested. Most of my options took big hits with the underlying stocks dropping 2.5, 4, 6, and 18% (SPRD). None of those is good where options are concerned. I did cover the short calls on all of my bull call spreads, so if those stocks will just go back up I can enjoy my lemonade.

Stopped Out

These three equities ended lower for the day. RES just barely tripped the trailing stop loss trigger before moving higher, closing out at -1.4%. My LGF position closed out at +11.8%, and the FTK position closed out at +7.0%. While there's no shame in taking a profit, the risk adverse trailing stops will probably cost me money on the last two.

I also bought April call options on speculative medical play ABMD.

SPRD was up 8.3% today, MPEL was up 4.3%. Watchlister GTLS was up 7.1%.

Decent Recovery

The markets dropped then recovered to finish flat. That kicked me out of my KEG shares when the 5% trailing stop loss order tripped (+5.5%). It rebounded to close down only 0.8%. I'll know in a few weeks if that was a good stop. Otherwise, I still have well ITM call options.

FTK had a nice 8% day, LGF started higher, then gave some back. My short positions in MNTA and SIMG improved as they both dropped.

My call spread in SPRD is underwater and it's been going down. I wish I could recommend it here, but I can't do it while it's heading south. Great sales growth, forward P/E around 6, estimates holding steady, and tends to surprise to the upside. Watchlist it.

Take a look at KOG here. Tremendous sales growth, P/E falling from 63 to 23 in the next two quarters.

The Market is Having a Sale

I'm buying SCCO calls and bull call spreads, and shorting SIMG and MNTA.

I sold some of my PRFT shares. MIC is having a good day so far. LGF has panned out well.

WPRT is down again which hasn't happened lately. Can't touch it until Pres. O. speaks on his energy policy ... or lack thereof.

Update: I forgot WPRT issued a secondary, and that was most likely why the price was down. I bought some April $35 calls and some March $37/$42 bull call spreads. WPRT closed at $43.94 Friday.