Thursday, November 6, 2008
Just wanted to update you on my SDS call options. Market is down sharply again today so I have just taken my Nov SDS 80 calls off the table for a 181% profit in two days. Now thats what I call fast money. I do think the market could fall further and perhaps even as far as the 880 level. But when the market gives you almost a triple of your money in two days, I have learned it is sooo prudent to take something, if not everything, off the table. Other choices I could have made with this trade would be to take half off the table and put a trailing stop on the other half or manually continue to move up a tight stop so I am locking in profits along the way. The SDS is a great way to play the market to the downside and the options are sure a trip. Since Tuesday the SDS is up about 18% and the Nov 80 calls I bought are up 181%. Now tell me this, why are you not trading options yet? Get in the game. Trade safe out there.