WealthEsteem.org Psychology of the Deal

Category: Trading Diary

  • Sell 5 March 9.49 @ 0.22

    Wrote another covered call while driving to an appointment. That was probably poor form because I could have got $0.12 on a 9.73 call and that might have been a safer trade. If I get exercised at 9.49 I’m at breakeven. If the price firms and exercise looks likely I could buy the option back…

  • BHPEL down to 0.075

    OK, it appears that I have wondered from my trading strategy and am trading on emotion. Yes it is good to take insurance — in my case I did that by buying BHPEL back at 0.105 yesterday to close out my position. I didn’t expect BHP to hit $9.49. For the record I don’t think…

  • Buy 5 BHP Feb 9.49 Calls

    I bought them back at 0.105 (0.005 profit) to close out the position. That makes it my worst option trade to date. I’m out $230 in commissions. Something is going on with BHP and I have no idea. Neither does my broker. I could hold on, if BHP hits $9.49 I get exercised and pay…

  • Sell 5450 ALL @ 2.02

    Hey a fast profit is a good profit. I’m out with a 11.60% gain (before commissions) in six days. I wish all my trades were like that.

  • Buy 5450 ALL @ $1.81

    I couldn’t resist. Aristocrat has been suspended twice in a week, but it was trading at above $4.00! It may never see those highs again. But I do expect it to hit $2.00-$2.50. It was $2.30+ before the recent hault. Aristocrat is the second largest manufacturer of gaming machines in the world. The US growth…

  • Write 5 BHP Feb 9.49 Calls

    OK after some needling I’ll blog when I do an option trade as well. Basically all I’ve done since November 2002 is write covered calls on my BHP holding. The deals were 5 December 10.21 BHP Call options Each contract is 1053 shares so 5 = 5265 shares Premium received $0.30 x 5265 bought them…

  • Sell 1831 CSR @ 5.64

    I stretched for cash at the moment so I look a $0.18 (3%) gain on a 17 day holding. A shame because I wanted to hold it long term. Mind you the last dividend was 13c so it’s like I got the dividend anyway.

  • Sell 1040 NCP @ 10.84

    I need the cash for another investment and the sell price represents a 10% gain on entry price of $9.85 so I’m taking profits. I have a sell in for CSR @ 5.63 but I don’t think it will hit this 3% price target today. Don’t you hate it when plans change? CSR was a…

  • NCP Commentary

    I did have a sell order in for my remaining NCP @ 10.46 but I cancelled it. If I’m betting the market will consolidate over the next few days, then NCP should follow. I could sell as insurance but given how long I’ve gone on BHP it doesn’t really make sense. NCP spent most of…

  • Buy 1831 CSR @ 5.46

    This is not strictly a trading position. But If it jumps I’ll take it. Given the perilous state of the stock market I’ve been keeping an eye out for value stocks that pay consistent dividends, represent a discount to NTA and have good businesses. CSR was one of the ones on the list and is…