Okay, let me tell you what I'm thinking (we can do this by phone in about 10 minutes, but might as well post on thread too):
JDSU, I probably feel safest with a couple of different plays and may do some of both. Mar 180s are 11-12 (XXZOP). I know that's only half of what ed got for another 20 points (200s) but it don't make no nevermind to me as I feel safer with that strike. But also, Jun 200s are about 38-39 (UCQRT) and Jun 210s are 44 (UCQRB), the latter more popular. Now JDSU is due for another run, and in such case one could trade those Junes pretty quickly if JDSU gets back up into the 230s or higher soon, which it could certainly do in a pre-split run in early March. So I may do a few of those as well.
For BRCM I'm interested in calls. I'm just not sure, since it recently sold off to the 270s if I should wait for a nice brief correction. I don't have enuf of a feel for it as I have only started looking at it in the last few days. But here's what I was considering: Mar 350 are slightly OTM now and could easily become ITM soon again, and are 28 bucks (RDUCJ). That looks pretty reasonable to me. Meanwhile, May 400s are 35 (too risky for me) and Aug 400 are 53 (I think that's a reasonable expectation), but what i like best are Jan 02 330s, they're 135. That would be a long-term play but I like leaps, and since BRCM has a great future, I wouldn't have to worry.
What does anybody think?
JIll |
