sold my NTAP puts near the close. In at 5.125 yesterday, out at 5.5 today. Actually, I had intended on holding the puts till the stock was setting new lows. I still think NTAP will be setting new lows at some point, but I closed out all my shorts and puts near the close today, for small losses or small gains. The reason I did that is:
1. I'm hearing a lot of people saying: "MU says memory chip inventories are getting cleared, so maybe all chip inventories are getting cleared, so maybe supply/demand is coming back into balance, so maybe we've seen the bottom in all the chip markets, and it's safe now to buy semis and semi-equips and all the other techs, because the bottom is in." Lots of "maybes" there, but we may be at the start of a bear rally that takes the SOX to 750 (the January top), and so I closed out all of my tech shorts and puts at the close today. I intend on re-shorting when the rally looks to be fading, and/or when I get a clearer picture about what's going on.
2. a bunch of charts in the techs look like they are breaking resistance, which indicates an upmove (short-term) is beginning. TXN closing above 36 the last 2 days, AMAT closing above 50, others. |
