Thanks for the thoughts. I use options on a limited basis and have never done the spreads, although I understand them well. I have no position and I pulled the rip cord a while back. It amazes me to watch this puppy go up and up in an increasing parabolic shaped curve, whether on a weekly or daily basis. Yes, it can go on for a while, but I also believe that it will come down equally fast, if not faster, for whatever reason. I am all cash right now, trying to pick through the choices out there, a position of neutrality, but I have to admit I have a preponderance to want to short strength and to buy weakness. To prove that, I have been looking at PFE, a now value stock with a low p/e and a real business. It is as if no one wants to show they own the stock this month so I might just buy some early next week. It is not as if no one is ever going to get sick again either. Until, then I may just not do anything.
One other stock that I have been watching is IBM, with another bullish chart, but the stock is not doing much today. The foreign exchange rates are a huge plus, in addition to the IDC data showing it gaining market share. That data came out after the close of the market yesterday. I bought NOK when no one wanted it at 11.32 and recently sold it at 15 and change. I am also looking for another entry into the OIH and the E&P group, but I may be a little late there as the chances of a pullback fade with winter approaching.
I am interested in looking at companies with a large percentage of foreign sales as well, as they should benefit from the weakening dollar. Of those KO is in the tank for good reason, but there are others as well. |
