An overall confusing day, jobless numbers are worse than expected yet we rally? PALM issues no guidance besides a break even cash flow mid 2010, no sales figures and the stock rallies 15% afterhours?
The overall markte move was likely due to year end positioning. The palm dilemma is more concerning, it was a better than expected quarter but the company is by no means profitable or even doing that well. Apparently the market is discounting a profit for 2011... Either way one of my OTM positions will now be ITM and I will be suffering a nice loss depending on how much volatility contracts tomorrow. This will also signal an all time high for the year and I think for the past two years. I will attempt to exit at an opportune time tomorrow on a pull back. If for some reason it pulls back significantly below 15 I may let the day unfold and see where it goes but for right now a pull back to 15 would be a welcome event. Up 300% and still people are piling in, that is fairly strong and hard to argue with. My other OTM positions will be held unless I feel they are in danger as well. Too bad I didn't go with my original idea of selling a strangle, oh well. Always next time.
Total Return for 2009: 147%
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