Sometimes its better to be lucky than good. Such an example I found this morning when it appeared that the futures we UP again! With the markets up over 3% in the past 2 days I was certain that would be the end of the up days and give me a chance to pick up some new stocks/options on the down. Yes I think December will be a good month for stocks so I do think the overall trend is bullish, but corrections are normal- no essential to a healthy situation. So imagine my dismay with a double helping of news; consolidation in the Metalurgical coal companies, (TCK and ANR would be affected) and an uptick in the futures= looking bad for my puts- which you might say I deserved for jumping anyway, and then you wouldn't be wrong. Then I got lucky, the jobs report-which was supposed to be a can't miss +100,000 jobs came out at 39,000 and the unemployment rate went up .2% to 9.8%. And the futures dropped; which is good for my short term, that and base metal pricing dropped by almost a 1%. Now to be honest I find the unemployment rate a joke- basically its only if you have been out of the workforce for 9 months after that you are removed from that %- but you still don't have a job, so there are still a lot of people looking for work, so in the spirit of the season we wish all those in tought times that they find the employment they need.
Action for today: I would love to see TCK drop to fill the gap at just below 50, this would give me a chance to sell the puts at 5+, and re-buy calls. I think a 5% pullback is possible, I know I've been calling for it and it just keeps going up, but today- maybe today (crosses fingers) I'll be watching TCK and ANR today with an eye at IO and DIGIT to see how they hold up. It should be pretty red everywhere; this is ok, even good. Happy Hunting!
Disclaimer; I own or plan to own all stocks/options called out here, this is in no way a solicitation to buy nor a suggestion. The material provided here is for entertainment only, and should not be taken out of that context, Stock have inherent risk and they can decline in value (duh) be smart.
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