Thursday, October 18, 2007

GOOG earnings


Well, GOOG reported earnings after the close today, the stock closed right at the money for my option and I was up slightly on it so I figured I would hold expecting good results. Good results came, stock initially moved down, then up to 650, then fell back down to 643.5. I was hoping for more.... At this point I am hoping to get out of it even, even though I think it is going higher in the long run, Oil hit $90/barrel afterhours which I think will weigh on the market a lot tomorrow. I will watch it tomorrow and if it is looking like it won't rally any during the day I will likely exit.

Now on to the previous dilemma. FCX, I sold out of this for an 800 loss, which is right at my 2% level. Of course then on the marketcast tonight Jeff says FCX is a great play to be in, oh well. I made a decision and I will see what happens, had I held till close I could have gained another 150 back, but I again had to leave before the close.

ACH, which had inexplicably ran up 10 dollars yesterday(well I think the explanation had to do with China and hong kong exchanging shares) pulled all the way back to 80 dollars, which is where it was having trouble breaking before. I took down 5 contracts a little under 81, with a target of back to its high, possibly take it to the century mark. if it breaks that 80 mark, it doesn't have much support until 70 so I will exit if 80 is broken. a 1:9 risk/reward, which I would always take.

I still want to get some put plays going, maybe on the XHB or some banks, most are already low priced though, JCG could be good but its not very liquid.

Here is how the account stands at the close with my options:
FCX(closed) -800

ACH +250
AAPL +1,375
GOOG +60


2 comments:

Unknown said...

I think you made the right choice with FCX. You have rules in place for a reason. Could it run up? Sure. Could it go lower?Sure. But the rules told you to leave. Easier said than done sometimes.

Dan

Ben said...

Thanks Dan, Yea I think I have to just be happy to follow the rules and know that cutting my loss will work out favorably in the long run if not necessarily this time.

Thanks for the input!

Ben