Monday, April 16, 2012

Buy BRKB and SPY (sell puts)

Buy BRKB via selling May 72.5 puts @79.3
Buy SPY via selling May 122 puts @136.9

I sell puts on Berkshire Hathaway and the SP500 ETF. I skipped the April cycle for BRKB because that stock often dips down during tax time, which is now about over. I open a small position on SPY for May, the April 116 puts look to expire safely this Friday. I pick 122 because that is 20 points off the high. I see support at SPY 125. This tends to be a decent time in the option cycle to sell the next month out as so many roll their positions.

Elsewhere, LGF (Lions Gate) is now a significant drag as it is down again, despite decent box office results. SPY opens higher now lower. AAPL and PCLN finally correcting, Apple now down four days in a row. GLD not acting well. My GLD position is now delta positive, because of the move down.

Long AXP IBM LGF SPY TLT XRT
net long GLD, IWM

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