Tuesday, May 23, 2006

Buy EBay

Trade

Buy Ebay stock, sell the June 30 call

June expiration will arrive quickly with the first Friday on 6/2/06, and a Monday holiday next week. Ebay looks oversold and worth a high probability shot at the capturing the premium (chart).

EWJ Japan ETF steady despite another hit to the Nikkei over night.

TOL Toll Brothers stock is up despite lower guidance (headlines). A lot of the bad news is already in these housing stocks.

Copper stocks lead the industrial and precious metals on a bounce back rally. (Yahoo leading and lagging industry groups).

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