Sell to open SLW February 15 puts. My limit order filled late morning. This is a new trade and another one from my watch list of last week. Many of the silver miners had good set ups and I wanted some exposure to precious metals. SLW has support at the $14.60 area.
SLW Daily
Sell to open HEAT February 12.50 puts.
SmartHeat, Inc. engages in the manufacture and sale of plate heat exchangers (PHEs) and packages, thermometer testing devices, and heat usage calculators in the People’s Republic of China.
I mentioned the other day that HEAT was on my watch-list. I was planning on more of a pullback before making this trade but this morning’s action made me enter the trade.
HEAT pulled back to the 38.2% retracement level on an hourly chart and has a rising 50 and 100 day SMA. I decided to go with the $12.50 strike which is also pretty solid support on the daily chart.
HEAT Daily
Earlier this morning I closed out the DRYS January 6 puts I wrote back on December 2nd. I also sold covered calls as part of that trade. I’m keeping the calls open and closing the put side of that strangle.
I was able to close these puts out at break-even so I decided against rolling them to February. DRYS is back below the 50 and 100 day SMA. If I want any more exposure to shippers I will probably look to sell DSX puts instead.
DRYS Daily
Sell to open IPI February 27 puts. I wanted to make this trade last week but I missed it. I decided to give it another try today after it found support at ~28.80 which is also a rising 50 day SMA. $27 coincides with a rising 100 day SMA as well. MOS and POT have similar charts.
IPI Daily
IPI Weekly
Sell to open Energy Conversion Devices, Inc. (ENER) February 12 calls. The December calls I wrote expired OTM and I decided to turn around and sell February calls right away. I’ve been successful selling calls on ENER in Sep, Oct, and Nov and managed to get my cost basis down to $11.74. I’m short the Jan 11 puts as well.
ENER is stuck in an ugly wedge and I normally wouldn’t be wasting my time with this stock – as a new trade that is. However, I got myself into it months ago and I’ve been able to repair it quite well. No reason to be long a stock with a declining 50 and 100 day MA.
ENER Hourly
Sell to open China Green Agriculture, Inc. (CGA) February 12.50 Puts. CGA pulled back to support at about $14.70, which was also support at a rising 50 day SMA. I tried the 15 strike but my order didn’t fill. I’m much more comfortable with the 12.50 strike.
CGA Daily
Sell to open HBI January 22.50 puts. HBI is up today on higher volume. Price pulled back to the rising 50 day SMA. The 22.50 strike gives me a little room as well. 22.50 is also trendline support as seen on the daily chart.
HBI Daily
I wrote DryShips, Inc. (DRYS) Jan 6.00 puts and Jan 7.50 covered calls earlier today. DRYS has been forming a symmetrical triangle for the last few months and all the moving averages have flattened out as seen on the daily chart.
I’ve been able to sell a lot of puts over the last several months on DRYS, but I need to watch this set of options very closely for a breakout as it is nearing the apex of the triangle. I don’t really follow chart patterns in a strict sense – I’m just aware of them. Trend lines and moving averages hold much more importance with my system.
DRYS Hourly
DRYS Daily
STO DSX (Diana Shipping Inc.) Jan 15 puts. I mentioned a week or so ago that I would be ready to sell the January 15 puts on a pullback. I’m still short the December 12.50 puts and the December 17.50 calls. On continued strength I will probably close the December calls.
I was tempted to sell some DRYS puts as well but I need to see a little more follow through in the shippers before I make that commitment.
DSX Hourly
STO UAUA (UAL Corporation) January $7.50 puts. UAUA jumped back above the 50 day SMA on trendline support. I had an order in this morning at the 6 strike but it didn’t get filled. I sold the 7.50 strike which leaves me the 6 strike in case I need to make any trade adjustments.
All the major airlines are up today. I’ve had several of the airlines in my watchlist and finally went with UAL. I may add some DAL or CAL on a pullback.
UAUA Daily
UAUA Weekly