Monday, December 13, 2010

INTC Watch

I've closed my earnings play on Intel Corp. (INTC). See my posting from earlier today for a discussion of my reasons for doing so.

I closed with the price of the stock at $21.50. The stock was at $21.86 when I opened the trade on Dec. 8. That's a 1.6% loss.

My position was in options, a bull put spread structured by selling the $22.5 puts and buying the $20 puts, all expiring in January.

I opened the position for an $85 credit per contract. And closed today for a $107 debit per contract. My maximum risk was $165. My loss was $22. So my percentage outcome was a loss of 13.3%.

I intend to re-enter at a lower price upon a reversal of the bear phase, if it in fact does occur prior to the earnings announcement.

Tim Bovee, Private Trader tracks the trades of a private trader for his own accounts. Nothing in this blog constitutes a recommendation to buy or sell stocks, options or any other financial instrument. The only purpose of this blog is to provide education and entertainment.

No trader is ever 100 percent successful in his or her trades. Trading in the stock and option markets is risky and uncertain. Each trader must make trading decision decisions for his or her own account, and take responsibility for the consequences.

  • h-a trend - Heikin-Ashi trend.
  • obv - On-Balance Volume.
  • pps - Person's Proprietary Signal.
  • psar - Parabolic Stop and Reverse
  • ma20 - 20-day moving average
  • ma50 - 50-day moving average
  • ma200 - 200-day moving average
  • macd - Moving Average Convergence-Divergence

About the glance: The colors indicate the state of each signal.
  • Signal Section:
    • pps, psar, macd: green for bull mode, red for bear.
  • Confirmation Section:
    • obv: green for uptrending, red for downtrending.
    • h-a trend: green for uptrending, red for downtrending.
  • Environment Section:
    • ma20, ma50, ma200: green for above the average, red for below the average.

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