Tuesday, August 05, 2008

Buy SPY (sell puts)

Buy SPY via selling Aug 119 puts

Buying ahead of a Fed meeting can be risky. However, today's meeting is widely seen to be a non-event. The minutes, or comments might move the market, but no interest rate move is predicted. The strike price of puts are 7 points out, and below the recent lows.

Positions: long BUD, IBM, SPY

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