Monday, November 9, 2009

My Trading Disclosure

I just wanted to inform you all that later this morning I purchased some short term call options with a Dec. 2009 expiration on the DIA and SPY to help offset the time erosion I'll incur on my long dated put options (Dec 2010/Jan 2011) before the crash occurs. The idea is to profit in the short term from this short term rally and profit from the long term collapse with long term put options.


MikeL said...

Todd, like your commentary - realistic and tough to pick the tops - I agree with your comments re a bigger fall though it seems the stimuli is giving just enough impetus for the bulls to keep going - enjoy reading your work. By the way do you have any thoughts re the Aussie Stock market / Aussie $ Regards Mike

Todd S said...

Hi Mike, thanks for the note. Yes, it seems the stimulus and dollar weakness is creating the "window dressing" the bulls want.....for now.

I don't follow the AUD/USD nor the Australian stock market. But I do know that the stock market will feel the results of the US stock decline and so caution is warranted there as well. As for the AUD/USD, it appears to be quite similar to the other dollar majors where the dollar is forming a major bottom. Perhaps you can use my USD/CHF and EUR/USD analysis to assist with your AUD/USD trading. And I will try to post something on the pair soon when I see something glaring in the future.