Our shorts are doing pretty well…
We selected BSET, TA, and LULU the last week or so as companies which stock prices had run up a little too enthusiastically, and these calls have turned out pretty well, so far. Rather than outright shorts, we suggested selling short-term out of the money calls since you get the added benefit of losing momentum and time decay.
- BSET was suggested at $7.8 on February 8, it just closed at $7.13 (Feb 14)
- TA was suggested at $12.36 on Feb. 11, it just closed at $11.56
- LULU was suggested at $84.31 on Feb. 14 and it closed at $83.70
Had you sold short-term out of the money calls, you would be sitting on very substantial profits right now. Even outright short positions would have been quite beneficial already, despite a rather benign market environment.
Very nice