Up +$7000 or 350% since August 16th. Trading stock options on AAPL & PCLN
I took $2000 of some money I got back from my school and felt the timing was ripe to trade some stock options. During this time I was deep into renovation a rental home and in full force finishing my MLitt in Film Studies dissertation project and essay. This was hardly the time to be trading volatile stock options on large cap stocks that move violently day to day. My main goal was to just earn enough to pay back, well everything, my total debt is around $130,000. I’m not afraid to say it. Most people hide it, but I hide nothing. I’m not proud of it but sometimes you make bad mistake after bad mistake or in my case I just consider myself likely somewhat handicapped in the entrepreneurial department. I would go as far as thinking I am mentally and business retarded at times making irrational decisions to achieve my American Dream – which now I know is definitely not greed for money but greed for personal freedom/desires (Which still cost money).
So here I am with $2000 to basically lose even though I need it for repair costs, credit card bills, yada yada. I see a great trade on Priceline Inc (PCLN) when I see it got crushed after a report on possible lower revenues. This stock has a solid cash balance sheet and great EPS/PE. I bought it around $559. I have been trading CALLS on it ever since and have done pretty well. Every time I get in it my main goal is to be out of it within 24 hours or less. For the most part I have achieved this. The other trade is with Apple Inc. (AAPL). I’ve traded some PUTS and CALLS on it. They have been mostly quicker trades the PCLN. For the most part if I wanted to I could be in and out of AAPL within 2-4 hours earning on average $500-1000. My last trade earned me around $3000. I’ve only done I believe 5 trades in the past 30 days. This is inline with Gary Williams trading rules to only trade 5-10 times per month maximum. I’m taking a break now so I can let my run cool and re-focus on my next trades. I am not as eager to trade as when I was 23-29 years old and I think that is because I am wiser at trading more now at 31 then when I began at a young 18.
I almost took my $7000 profit to buy a sweet badass 1965 mustang, but instead I settled for an ever cooler 1990 Bronco with a failing engine for $900 which I didn’t have to pull any money out of my trading account. Hahaha. Come on, just laugh! The back top comes off and it turns into a muscle jeep. My mom owns my loved diesel Jetta and I hope to get it back or just buy myself one once I have a more stable income. Currently I’m finishing my MBA, working on starting a mini aquaponics fish farm, trading options again, and among all this trying to now edit my first non-fiction book with a friend to publish and sell on all digital readers. So, I don’t know what my future of trading holds for me, but I do know I’m on a good run and I don’t want to give it up so easily.
Oh, if you are wondering about the Toke n’ Toss business ventures, well, it’s completely over. Now I understand why they say choose your partners wisely – marriage or business. Let’s just say this was another $5000 business lesson, but this lesson was one on one truck/stand vending for concert goers. Learned a lot, but learned the most that people that aren’t willing to budget and chip in on expenses should be left on the side of the highway as soon as they start complaining that a twelve pack of beer IS a business expense and YOU are going to pay for it because the partner doesn’t have any money.
See below trades:
Fantasy Portfolio update / BIG OPTION PLAYS I’d trade my life on – AAPL, GOOG, PCLN
It’s too bad Yahoo! Fantasy Finance doesn’t let you short or trade options on stocks in your portfolio. I’m currently up 14%. Nothing to brag about compared to leaders supposedly with up to 150% gains in the past 30 days. I don’t know how they are doing it but I can only assume they are trading penny stocks or stocks only under $2.
See shot:
Some BIG OPTION PLAYS I’d trade my life on which I think at the moment are definite risk/reward worthy are put option trades on AAPL, GOOG, and PCLN. They have been trending down for the week 5-20% off their highs. I’ve been waiting and waiting for some big institutional sellers/investors to start taking some profits and selling. I believe this is finally happening as stock analysts re-think Apple. I think it’s run up with Google and Priceline are currently in a stock value correction. The company’s have moved up so quickly a stock correction was bound to happen. Now I’d trade my life on a definite ongoing correction probably another 10%. However, from experience, this could also be a quick buying/selling opportunity. Whenever a high talked about stock like Apple falls 20 points as it did today then next morning it can have a volatile swing upwards confusing any type of trader. So a correct entry point is crucial and very short-term trading profits are important – meaning if I was going to trade puts on any of these companies once I’m up 50-100% in a day on a contract it would be smartest to get out and just get in/out when the timing looks right on technical charts and watch how investors are reacting/how news is changing.
Even with the stocks hit hard today I can bet they will actually be positive tomorrow.
However I feel a put trade over 1 month will have definite positive results. Since I have no money in my account. I will trade as if I only have $2000 for each option. (A total of a $6000 account).
Here are my 3 BIG OPTION PRACTICE PLAYS on AAPL, GOOG, PCLN.
Bought end of close 4/16/12
AAPL 555 MAY PUT @ $20.44 (This is the closest to in-the-money I can buy – although way out of the money with only having $2k towards trade however this option is moving fast with big swings).
GOOG 610 MAY PUT @ $19.40 (Surprisingly, GOOG is higher and I can buy in-the-money puts for $2k)
PCLN 655 MAY PUT @ $20.50 (Closer to AAPL’s option pricing – out-of-the money with $2k trade)
Very short-term such as the next 1-2 days I expect the stocks to pop up, however if I’m right on trending and more importantly – FEAR of losing money for many holders – the stocks should continue a down trend and the more that sell the sharper the decline until a big guy steps in and stops it buying back changing direction – a new market correction. So check back in a week for a post update on this practice trade.
Apple Inc back at $228 and climbing – Obama Healthcare Bill signed into law – YES! Now I predict stocks can continue their uptrends without the “unknown”.
Ok Apple (AAPL @ $228) it’s about time. I’ve been in April 10′ 220 call options and have been watching this stock play around the 220’s driving me nuts because if I could commit to trading it full-time I could of been in and out many times for small profits. I suppose my option is probably still negative right now until it movies over $230’s in which it will likely run fast into the new iPad launch the first week of April 2010 in which I’ll sell my options at around a 25% profit (2 weeks, a bad trade). I’m psyched about the iPad. Many Apple geeks say “screw it” just because you can do everything on an iTouch or iPhone and put it in your pocket. For me though I’ve held out. I might even have to wait until the iPad 2.0 with a video camera built in so you can walk about doing skype/video conferencing anywhere. I like the touch screen and will likely just use it to show off my portfolio and use the Hitchcock application to practice creating a film.
I don’t even have my 2009 iMac anymore. I offered it towards collatoral + all my HD video gear to be a co-owner in www.icanhandlethat.com (not live till June 2010) in which I’ll be doing media full-time and be an owner. I’m really stoked for the development of the company and it’s purpose because it is what I love doing right now which is helping small businesses in media and promotion. So even if I had an iPad I’d have to use my Art Institute school computers just to download the apps on it. I would definitely bypass the iTouch to get a larger more versatile iPad.
As for President Obama’s healthcare bill finally signed into law I’m kind of glad the fighting is over and now we can focus on the economy (even though the $1 trillion cost will have a real affect if we don’t tax citizens (the rich) more to pay for it).
The new healthcare focuses on “preventive health” and that DOES MAKE SENSE. I’m just hoping as a person that doesn’t have healthcare that I’ll be able to get it affordably and be able to get the “preventive” things that keep us truly healthy and vibrant such as chiropractic care, acupuncture, yoga, green foods, and massage. If it won’t cover any of these “true preventitive” healthy living precautions then, well, that will just suck. If I’m going to have to pay high taxes as a broke student that is unemployed currently then at least give me some massage and acupuncture to take away some stress!
I’m glad Obama is the first black President (or should I say half black half white, does it even matter?) and made it his legacy to get healthcare for once and all changed. I thought the great former President Bill Clinton would get to do it. He’s my favorite. A man of the ladies while also being a great peacemaker. President Obama took a big risk in his presidency and I like risky people. He didn’t give up and now it’s a law passed, a super huge one. I suppose everyone better start investing in healthcare NOW because a lot of money will be funneled into healthcare from the government and then people working for the business. Just think about all the businesses that will get paid “no matter what”. This will create a lot of niche sectors currently profiting become likely gold mines in the stock market.
-pm
AAPL OCT 170 CALLS sold out up +25%, GOOG earnings
Okay so to finish from a few days ago I bought AAPL calls going up and I was sold out the falling morning for $2.60 up 25%. I wanted to trade into GOOG earnings, but with a small amount so I only traded $1000. Again I was probably being too greedy. I could only buy 1 contract and I did at $10 for GOOG NOV 690 CALLS, but I should of put my GTC order at $11.50 or $12 at the most. Early morning trading the next day the option only went up to $12.60 so if I only put it up a dollar or more I would of been sold out with a 10% profit. I put my GTC order at $15 because I thought GOOG which his $658 would of rose $5 since I was closer to in the money, but I was wrong. I also slept it! I put my alarm for 3:30 AM to get up right when the market opened so I could sell out, but I slepted in an hour and that cost me $300. I sold out at $7 with a $300 loss. I’m actually happy I loss only $300 because if I would of stayed in I’d lost a bit more. This is what is confusing: I bought my option when GOOG was at $639, but my option fell $3 dollars even when in the next morning it was up $9. You’d think my option would of went up with the stock instead of fell. How is this possible? I figured it had to do something with expiration Friday for options. My call option fell $3 even thought GOOG’s stock went up and held at $9 so like $648. I don’t know why my option fell so much but it did. I think for now on I’m not going to buy calls near expiration Friday. They must adjust the price or something. Anyway GOOG earnings should help the stock rise. The Dow drop of -$366 pts is termporary and I definitely expect Monday or Tuesday next week to have a pop and push the market higher after this big pull back.
Stocks I’ve been keeping a close eye on are FXI, GOOG, AAPL, NUE, SHLD, RIG
FXI is due for a correction with the asian markets. Just recently it has fell 18 pts within a week. If it breaks its major trend I might buy a crap load of Puts on it. AAPL’s earnings are OCT 24th and I might play Puts on it because historically Apple during earnings falls every time.
With NUE steel is starting a strong uptrend helped by X. SHLD is just very volatile and I’m looking for entry points since it is going sideways now. Lastly RIG had a peg of .41 does anyone know this? This stock has continually gone up its trend and if does at $112 it will start bouncing back up again to a higher price.
Google (GOOG) @ $437 profited me $15,000 in 5 days off near month call options
Last week was an excellent week. My art was together doing its thing. The day I told myself I would sell out my profit went up to + $20,000, but I was at a major disadvantage because I had no phone to call my broker nor internet to sell out. I finally did get to sell out of my Nov and Oct 07 670 call options both well over 100% ROI in less than 5 days market days. I told myself I’d sit back now before jumping into a new trade. I might take a tiny bit of my profits such as $500 to go through GOOG earnings on Oct 18, 2007. The past 2 years GOOG jumped around $30 if it reported good results so if it was another good year my options should sell out the day of earnings profitably.
My eyes are back on Apple Inc. (AAPL @ $167). I think it has finally maken up its mind to start “moving” again. It is definitely capitalizing in on the iPhone and its monopoly. I am seeing more and more iPhones in peoples hands and personally I want one too! I currently have a Nano iPod and enjoy it very much without any problems. Earnings should be stellar with Apple also taking over the computer market currently staking a 25% stake in the share of all computers sold. Apple is hot right now. I’d like to be options and see it go to $200 price target. This may happen at its next expo in January of 2008.
Lastly the only other company I’m interested in is Sears Holding Company (SHLD @ $142) the retail sales reports scared the stock some, but many factors are coming into play to force the stock up going into major retail selling season. Historically on charts it doesn’t move much after mid-November it looks so I don’t know how much a play SHLD will be, but I will watch it for a trade.
The lady I’ve been interested in is awesome, but I don’t think she is interested in me. Maybe the friend deal? Lame. I got to dance with her at Octoberfest here in Honolulu. I had a blast and wish I could do more with her. I did send her flowers and she loved them for sure. I guess only time will tell if I have a fighting chance at her heart.
As for my trailor park my new manager is doing a great job and I plan to buy some new trailers on the lots to rent out more. The second park is still waiting for appraisals and contracts to be done. I bought a residential lot near Austin, TX for $1000. Its right in a major new and upcoming community with tons of golf courses. If I do retire is that what retired people do? Play golf all the time?
After watching Michael Moore’s “Sicko” I think I’m going to also buy land in Canada, France, and Cuba since the healthcare seems to be great and Cuba buying up Peso’s could be a great investment long-term.
dating for business nerds, AAPL, trailer park news
Well last night was quite a night. Plenty of beautiful women yet I “freeze” at every given moment to talk to one. I find it interesting that the women that I call bottom feeders just like men that prey on easier women flock to me. I must be radiating off “desperate nerdy fumes” because some how I get myself into uncomfortable situations. I’d say even after 9 straight hard liquer double shot drinks I’m still sober. A woman hitting on me, completely drunk and vulnerable, starts physically showing her affection. Right there I could of easily took her home and had a successful night to most bottom feeder guys. She was bottom feeding on me, at least I think. Granted I consider myself a pretty nice guy I don’t know how to tell girls I’m not interested so I just try to disappear. I know that sounds crummy and wrong, but what else can I do?
Last night I met a wonderful, cheery, cute woman engaging herself into the finance industy. To me this is a complete turn on and makes her even sexier. But rather when she asks someone to dance, even though I like to dance, I freeze and right at that moment history creates itself. Possibly now that guy will be the guy she personally chooses, and although I have many more simular interests with her and she liked my compliments because I chose to stand there and not act I am virtually non-existent. So then later say I might end up doing something even more incredibly dumb like sending her flowers to see if she remembers me to spark her interests that I’m still thinking about her? Oh, of course, but probably by then any chance will be gone.
Did I also say that I’ve been hitting on a woman 20 years older then me? Okay, shes into business too. She stays in shape and in my opinion is much sexier and prettier then most 20 years I go after, but still maybe too mature for me? She left early because we came together at the bar. I think she likes me, she maybe even had a fantasy, but realistically she would not let me persuade her to date me even if I think shes hot. I was thinking though with the laws of attraction even if I was dating her and we were looking for simular partners in our age group wouldn’t this still attract our opposite sexes for more options? You know how you are married or dating and suddenly all these beautiful women/men suddenly appear, but you are locked in a relationship. Well that is what I was thinking. maybe it might do us some good?
For stocks AAPL has reached $154, but my options have been re-evaluated it seems twice and have only gone up to the price I paid for them. Twice now I could of sold them up $2500. I’m hoping my patience pays off. Current Apple Inc. news has been moving it up. Last year AAPl fell the first week of October through the half of the month. Will history repeat itself? Investors are very optimistic and earnings is in late Oct. The $2900 appraiser is going out to evaluate this new trailer park. I hope everything is an okay and the park is appraised much higher so I could possibly use the funds to purchase a much bigger park by the time I’m out of the USCG. Currently my first park is taking a lot of work moving out tenants, throwing away tons of trash, and getting it up to habitable standards. The new property manager has been a big help and I hope he can handle it. I pray my parks run successfully so I can fly out and take the property managers out to a nice dinner to reward them.
well thats a nerds life for ya.
Human Resoures – Not an easy job. Stocks – AAPL, SWN
Recently I’ve just started a fasttrack college course for an upper level Human Resources class. HR is much harder then I expected. I thought it would be cake! I give HR people much more credit now having to understand all the laws, rules, and regulations on hiring and planning your workforce. Being an HR takes brains I do not have to spare.
For stocks AAPL @ $138 has just been waiting for something to make it move. The news of its 1 millionth iPhone sale is good news to my options which are now in the negative again since I did not sell them when God gave me the choice to up a couple grand. I’m going to stick to my guns about AAPL stock moving much higher. I have to admit the $10 g’s I put into the options can not lose since that money is needed for another mobile home park I’m interested in buying. AAPL currently has a strong upward trend and I count on it to move much higher into Oct if more, many more, iPhones are sold. It’s a hot product and with the price reduction it should sell much more because a new “i” trend product. I’d like to make $20 g’s on AAPL options move the initial $10 g’s out into my escrow for my down payment and use the profits to buy more options. Another stock moving right along which has 100% broken it’s downward trend is SWN. SWN @ $42 now is steadily moving up with new $80 oil highs. Historically both stocks AAPL and SWN and NTRI have moved up end of August into October.
Currently I’m in “C” school for my military rate. It’s awesome. I’d really like to live the college dorm life even in my 30’s. Good food, exercise, computers labs, and young beautiful women. It doesn’t get much better then this. I feel so relaxed and no stress bothering me except getting business deals completed and selling out of stocks profitably.
So far I was wrong about SWN options since I bought them way way too early in Aug and now in Sept they will expire when the stock is just started to move up the past 6 days.
My NYX options that end is Sept have no chance since the stock is so hated. NYX should be a powerhouse and maybe one day it will be trading very high, but for now it doesn’t move past the $80’s.
I’m keeping an eye on NTRI which has moved down to $48 and now strong up into the $55’s. RIG @ $105 is still in the .31 PEG. Unbelieveable if you ask me.
Apple Inc. (AAPL @ $126) big pull back expect lots of buying
Apple Inc. (AAPL) just recently took a big pull back at $126. I’d load up on shares if I wasn’t broke! hahahaha. Seriosly! Okay I’m not actually broke, but I definitely feel like I’m spent out to the max. For anyone interested in getting a bargain AAPL at $126 currently is because Apple Inc. is a great company that will keep earning profits even if the financial markets have a melt down because of its trendy very wanted products. AAPL current growth trends are off the charts by out selling the entire PC industry with its sleek charming Mac computer sales. All those iPods are finally paying off because those customers are switching to Macs. The iPhone will just be another diamond ring paying off big once it picks up and it will. Apple’s advertising on Tv works. The iPhone is awesome. Apple Inc. keeps turning heads with every new and old product they created improving everything about it, and Apple fans are great influence of more products being sold with mega word of mouth.
Even though currently on a 1 and 5 day chart AAPL looks glim and very bullish I expect bullish up ticks tomorrow or Monday back to the $135. IF AAPL continues to fall with the market (since the market IS falling) then better for me when I will have some capital saved up to buy it when it does start moving up again. I thought AAPL’s flame was over, but with new affordable Mac’s and the creation of the iPhone we could have another 2-5 years of upward growth for AAPL stock. This year I predict it to go well over $200 a share with increasing market share in the phone market and computer market. That currently would be a +$74 profit per share or around a 7000% profit on any option you buy now good until 2009.
Paul Meyer 