*Investors Blog*

[gfh77665]

UNH has cratered (-42%). What do you all think? Is it a "long term" buy here?

 

[ArrestMeRedZ]

UNH has cratered (-42%). What do you all think? Is it a "long term" buy here?

With the DOJ investigation and other problems I would think long and hard before I pulled the trigger on that stock. 42% may be only halfway to the bottom.

 

[Pablo]

Did it in the morning. The premium was less than the $1,300 and VGLT rose a little (but still not at strike).

Loaned my SPYI to Fidelity while I was doing new things.

Not sure WTH this means in positions, though.

View attachment 279395

Almost always approaches zero overnight making your overall balance more or less correct.

 

[jetman]

It’s a bit more rare occurrence to get a good premium and taking possession of a stock that is plummeting is a risk

True, patience and I'm not young.

What funds/stocks for you this last cycle?

I like high % returns, so I mostly trade the 3x leveraged ETFs, this time TECL, SPXL, & TNA. I also like volatile stocks like TSLA.

Here's an example of a 70% annualized trade I made April 3rd w/May16 expiration:
Sold "at the money $125" SPXL puts for $10.58. It expired at $156.

Here's an example of a 140% annualized trade I made April 7th w/May16 expiration:
Sold "at the money $95" SPXL puts for $14.19. It expired at $156.

 

[Mechanician]

Moody's downgraded US debt - is there a good move to make in the bond market?
Or is it too late now that the announcement has occurred?

 

[Pablo]

Moody's downgraded US debt - is there a good move to make in the bond market?
Or is it too late now that the announcement has occurred?

Nothing burger. Mostly political, yet slow compared to the other rating agencies. Even the statement says over the 10+ years..........

But will the bond market change on Monday? Yes, but banded as usual.

 

[Dave Hess]

Costco now offering a Buy Now Pay Later option for online purchases.

https://www.abcactionnews.com/busin...buy-now-pay-later-option-for-online-purchases

 

[Pablo]

Costco now offering a Buy Now Pay Later option for online purchases.

https://www.abcactionnews.com/busin...buy-now-pay-later-option-for-online-purchases

When I saw something come in from Costco I thought it was something good. I was wrong obviously.

 

[Dave Hess]

Lots of broke consumers maxed out their credit cards and now need BNPL to get buy.

 

[demarpaint]

I sell cash covered PUT options when volatility spikes for income.

Today, the cash covered PUTs I sold April 3rd, 4th, and 7th, and at that time collected $15K for, expired worthless, meaning I keep the $15k (70% to 140% annualized income).

I'm now sitting on mostly cash and waiting for volatility to do this sort of trade again.

I do this in me (68) and my wifes (61) IRA and brokerage accounts and have since 2020.

It takes patience.

Occasionally I'll hold stock(s) and sell covered CALLS like @Pablo.

I've been doing this for a lot of years. It takes patience but pays off.

 

[jetman]

I've been doing this for a lot of years. It takes patience but pays off.

And you have to pay attention because the opportunities don't last long.

 

[demarpaint]

And you have to pay attention because the opportunities don't last long.

Exactly! I was lucky enough to write covered Calls against my long term AMAT position on Wednesday and bought to close them yesterday. Possibly a bit too soon but it paid nicely.

 

[SC Maintenance]

Moody's downgraded US debt - is there a good move to make in the bond market?
Or is it too late now that the announcement has occurred?

No one cares. Everyone knows the debt will never bet paid back. Same in Japan and China and Germany and UK and everywhere.

They will print whatever they need to and pay the yield and the principal when it matures. The only question is how inflated / deflated it is when it gets paid back.

 

[SC Maintenance]

UNH has cratered (-42%). What do you all think? Is it a "long term" buy here?

When catching a falling knife - which presumably you would only do to hold for the really, really long term - your better off to give up the 10% at the bottom and hitch a ride on the way back up. IMHO only.

Technicals can help here - but there far from reliable on a good day, and this isn't a good day of UNH.

 

[Mechanician]

No one cares. Everyone knows the debt will never bet paid back. Same in Japan and China and Germany and UK and everywhere.

They will print whatever they need to and pay the yield and the principal when it matures. The only question is how inflated / deflated it is when it gets paid back.

So you're also thinking there will be no change in the market to take advantage of?
I was under the impression interest rates would be affected.

 

[SC Maintenance]

So you're also thinking there will be no change in the market to take advantage of?
I was under the impression interest rates would be affected.

As mentioned, the other two ratings agencies had already downgraded the US debt. Neither of those had much of an affect. So this 3rd one is sort of a forgone conclusion - IMHO.

The US can print the world's reserve currency. What is the likelihood of technical default?

 

[JeffKeryk]

Exactly! I was lucky enough to write covered Calls against my long term AMAT position on Wednesday and bought to close them yesterday. Possibly a bit too soon but it paid nicely.

Applied is a great company.

 

[demarpaint]

Applied is a great company.

Yes, I've owned it for probably 40 years, possibly longer.

 

[JeffKeryk]

Yes, I've owned it for probably 40 years, possibly longer.

Bring home the groceries. I have many friends and coworkers there. Well run company.

 

[SC Maintenance]

Obviously but it was hot all day ..
Now gone but onaconova a turd but made most gains after hours and thus daily you put in a high and late limit order. You have to know and get the feeling to bail before you sink...

Been lucky doing that...however......

You ever use daily technicals for entry / exit? For example?