Monday, 3 November 2014

Small but unexpected gain

There was a quick upward move in IRDM today that took it above the $10 mark. What this did to my position in IRDM was made me take profits in IRDM. I had made an order to sell my 26 contracts in IRDM to sell at $0.50 a contract and due to the move above $10, it was bought rather quickly. This caused me to gain some profit since I had bought the contracts at an average price of $0.34 per contract. I'm glad I made a small profit in it and while a part of me is tempted to take a position in it back, I think I will stay out of it. It's really not a good play for options as the interest in the stock is fairly low. What this does it make it harder to sell my contracts if the stock wasn't doing as well. I might put an order to buy $10 calls again but it will be at a small amount of contracts. Of course I'll also ask for a lower price on them and see if that goes through.

New positions to consider are to buy puts in INVN or HLF. HLF did fairly bad in their ER and seems to be losing ground now. INVN looks to be on a downtrend as well. Another possibility is also put options in S which also didn't fare too well in their recent ER. I'll need to check on interest and such first though I think.

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