| Been playing with the charts, numbers and etc.........Strategy for next week is going to be aquire the 03 sunw leaps. I will liquidate some other stuff, but plan on buying the 03 sunw leaps as (if) the naz coninues to drop. Gonna stay about $10 OTM on the leaps as the stock falls.......the leaps I bought today are at a $52 week low, with a high 500% higher. A run to $35 should bring at least a double. I think the premium on this one is allowing for a great chance of high% return. Who knows what the naz will do....but with the leaps, we have two full years.....additionally, we are only looking to fill a relativley small gap for a double on the calls......if we go above the gap, the leaps will appreciate accordingly. I expect we will re-test or possibly break the lows on Naz, but I do have hope that we rebound sometime in the next two years. Even if sunw see's $15, I will keep buying the 03's about $10 or so OTM since the premiums are dirt cheap. Any pop in the stock will see a nice % pop in the leaps. My thinking is also, if we see more downside...retest or break the lows, it will give me a great opportunity to accumulate a bucket load of very cheap 03 calls in a gorilla and naz bellweather. my guess is unless we are in a total economic collapse that lasts for years, eventually sunw gets back above $30 in the next 2 years...hopefully above $50...hopefully above $100.....but would most not agree that a $35 price on SUNW in the next year or two is very doable?? If so, the lower she goes, the more I accumulate the more I can make...I figure to hopefully keepbuying as she drops, sell for doubles into any rally, but also accumulate a few of different strikes along the way.....anyway....after looking at the charts and the prospect for more short term and possible medium term weakness in naz, and the possibility of buying these cheap leaps which are time protected to a degree for quick doubles on the up and down swings, this is what I willlook to do to a degree starting today and as we go into any more weakness. Like I said, if I can pull a few doubles, which the charts suggest is very possible and accumulate a few for maybe much larger returns, I'll be ok with that.........ugly market, ugly close........have a good weekend all.....if ya get a chance...take a peak at the charts and the sunw 03's....seem's like excellent opportnities the further she drops...... |
