Monday, April 6, 2009

still holding onto IBM puts

i thought it might break big, because it's not buying Sun, which is a kick ass company with a lot of good technology that IBM could use. But, they play it safe. The stock showed okay strength. Today it traded with the market, i.e. it was slightly weak, but there was no huge break to say 98, based on the dip in the futures this morning. sigh!

i still like it's chart. a lot of stocks are trading mid 2007 prices now and these i must say are decent prices. i would be bargain picking here and banking and real estate would be my first choices, not tech, especially not IBM which is just $18 ducks away from it's all time high. YES, 120 or whereabouts i think.

if there is a break in the market, this thing is going downtown and my target is 98....which gives us maybe 7.5 and a breakeven....although i had a sell for 6.8 the whole day today, just on the off chance.

i've been double thinking a lot about this stock, and that is both good and bad. you can never be too cautious. the only bad part is that statistically speaking, almost every time i hold options over 2-3 days, i end up losing money. almost 97% of the time.

i'm watching like a hawk, but fingers crossed.

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