Author Topic: What are you buying today?  (Read 1351765 times)

boilermaker75

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Re: What are you buying today?
« Reply #3360 on: October 29, 2018, 10:20:33 AM »

If I did not already have too many open put positions, I would use writing puts to play the IBM all-cash acquisition of RHT. (I probably will after some of my open puts get past expiration.)

For instance, this morning you could have written RHT 170-strike puts with expiration this Friday for $1.50 per share.

Then on Friday you can decide what your play is for the next week.

As long as you're picking up pennies in front of the steam roller, why not just sell $190 strike puts against RHT (2020 expiration)?  Surely the deal won't fall apart.  Seems like less work.

Yes if you think the deal goes through and does so in a reasonable time frame. The reason I like options is that I set the date when the play is over. And if I get put to then I can decide whether to hold to conclusion of the acquisition, or write covered calls.
« Last Edit: October 29, 2018, 10:22:24 AM by boilermaker75 »


bizaro86

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Re: What are you buying today?
« Reply #3361 on: October 29, 2018, 10:39:33 AM »
I doubt the Chinese (or anyone else) will block the deal by Friday...

frommi

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Re: What are you buying today?
« Reply #3362 on: October 29, 2018, 01:00:54 PM »
*EDIT* I also bought a TSLA bear call spread 300/400 MAR2019 for 47$ credit because i just love the drama.

Sold the spread for +-0 because i don`t like how strong the stock behaves in this market. Bought more KMI (reached my personal position size limit now) and MSM.

Lance

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Re: What are you buying today?
« Reply #3363 on: October 29, 2018, 01:09:28 PM »
IBM

Thanks
Lance

Spekulatius

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Re: What are you buying today?
« Reply #3364 on: October 29, 2018, 02:37:50 PM »
GOOG, FDX and FB.
To be a realist, one has to believe in miracles.

frommi

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Re: What are you buying today?
« Reply #3365 on: October 30, 2018, 07:10:52 AM »
Bought some MXP and EUR futures and hedged the rest of my $ exposure back to . Currency exposure is now 40% MXN, 60% (home currency).

Small update on currencies, since the spread between long term and short term interest rates in mexico has widened its currency is not in the top spot anymore. CAD and USD are still in the top 5 so i sold all currency hedges over the past weeks with a small loss.

frommi

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Re: What are you buying today?
« Reply #3366 on: October 30, 2018, 12:31:39 PM »
Sold PG,EIX,NNN,IBM and bought more SRC,MSM,FAST,ENB,OXY,TAP,KIM.
PG,EIX and NNN reached fair value and IBM just suxx. Took my tax losses because i think that the Redhat deal was a huge value destruction and probably an act of desperation. Maybe that marks the bottom, but i don`t have to make back my money the same way i lost it. And the realized tax losses allowed me to buy more of other stocks.

Lance

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Re: What are you buying today?
« Reply #3367 on: October 31, 2018, 07:50:44 AM »
TKC (Turkcell Iletism Hizmetleri)


Thanks
Lance

gfp

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Re: What are you buying today?
« Reply #3368 on: October 31, 2018, 07:55:33 AM »
Boilermaker, I confess that I stole your ideas again.  Sold BRK 197.5 November 2nd Puts at 1.70 yesterday and Sold RHT November 2nd 170 puts at 2.10 right after you mentioned them...  Still a couple days to go

Looking forward to Saints-Rams!!!

THANKS!


If I did not already have too many open put positions, I would use writing puts to play the IBM all-cash acquisition of RHT. (I probably will after some of my open puts get past expiration.)

For instance, this morning you could have written RHT 170-strike puts with expiration this Friday for $1.50 per share.

Then on Friday you can decide what your play is for the next week.

As long as you're picking up pennies in front of the steam roller, why not just sell $190 strike puts against RHT (2020 expiration)?  Surely the deal won't fall apart.  Seems like less work.

Yes if you think the deal goes through and does so in a reasonable time frame. The reason I like options is that I set the date when the play is over. And if I get put to then I can decide whether to hold to conclusion of the acquisition, or write covered calls.

flesh

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Re: What are you buying today?
« Reply #3369 on: October 31, 2018, 09:58:43 AM »
Buying Ibkr, bld, vsto, ads.