What are you buying?

[Causalien]

Again, I'm a newbie, but don't you think it's too risky especially when TSLA hit 52 weeks high?

I always read not to invest too much in 1 stock.....so my biggest holdings XIU - 5% and PM -4%

Well, with TSLA, I have a history of missing the last 4 dollars of a runup to peak. If you check this thread. I already said I reduced to 20% (of the total amount of $$$ I assigned for TSLA trades) weighting when it was at $29.

I am only holding 20% of the entire allocation to this stock because I don't believe it should move anywhere above targeted $39 before model S ships. I am holding 20% in case I am wrong and it runs up to a proper valuation. What is a proper valuation for it? I just look at the traditional boutique auto shops with the smallest market cap as a safe estimate.

In any case, this is the second time that I have done the same swing trade. From ~24 to 30 is the range I target currently. The second time I got lucky so I exited early because the market went full retard on news of two irrelevant executive leaving.

If Tsla breaks all time high, then I will have to think about how to readjust. Depending on whether or not the break is due to a gap, or high volume run up. Or a news event.

The money is already made and I already have a good position. The cash... well, it's there awaiting the next play.

[gibor]

I am only holding 20% of the entire allocation to this stock because I don't believe it should move anywhere above targeted $39 before model S ships. I am holding 20% in case I am wrong and it runs up to a proper valuation. What is a proper valuation for it? I just look at the traditional boutique auto shops with the smallest market cap as a safe estimate.

Just wondering if you are planning to hold TSLA for a long term? imho, the higher gasoline prices, the higher TSLA

[Causalien]

Depends on if TSLA is the best most risky stock. If spaceX or Solar CIty IPOs. I might change to those. The most important part is that the stock have to be out of the media lime light. As long as Cramer hates it, it's a good investment for me.

SWI is looking to dethrone TSLA in my portfolio as well. So these are the targets for risky.

Of course, once Facebook IPOs. Everything will have to be evaluated. As I regard that as the bubble burst indicator.

[HaroldCrump]

i've cranked out 2 simple formulas for anayzing early assignment risk a couple times already.

For all of posterity, following is humble_pie's formula for determining risk of assignment:

CALLS: if (stock - strike) > option bid = risk of assignment

PUTS: if (strike - stock) > option bid = risk of assignment

[humble_pie]

oh, thank you harold. Thanking avrex also, who posted up these formulas in the options thread.

the formulas are valuable for all options traders except perhaps doc & cause, who already have the math embedded in their keyboard stroking fingertips.

i actually obtained them during the crash of 08/09 from a good friend who is a senior manager with a leading option house.

[humble_pie]

would like to mention that the formulas should really be elaborated to include looming dividend X date calculations.

ex: the counterparty doing a dividend play with a call option is going to include the amount of the dividend he will receive. So the short call deep-itm artist has to be mindful of the dividend as X date approaches.

[avrex]

I'm continuing to make a few speculative plays during earnings season.
On Friday, ANR was down -3.8% on the day.

I like their low price/book and price/sales ratios.
So, I made a quick purchase at Friday's closing bell.
(Actually, I sold puts.)

Let's see how the ANR earnings report looks, this coming Friday.

[londoncalling]

Entered a position into EGL.UN.TO at 11.15. This position was entered to add to my energy holdings and to gain access to the US market where most of its holdings are situated. The trust is exempt form the flaherty tax grab initiated lat year as it holds US assets instead of Canadian assets. I don't expect much capital gain with this one and am taking a bit of a risk as the stock does not have a long history. Furthermore if Mr. Flaherty closes that loop hole I may take a beating. If the company can improve its earnings into the + side it should help share price. I believe the dividend should be safe and bought it for the income.

[gibor]

I don't expect much capital gain with this one and am taking a bit of a risk as the stock does not have a long history. Furthermore if Mr. Flaherty closes that loop hole I may take a beating. If the company can improve its earnings into the + side it should help share price. I believe the dividend should be safe and bought it for the income.

I also didn't expect when bought about month ago... but I'm up more than 13% just sorry that didn't buy more.... was planning to add to position on possible dip, but there wasn't any real dip...

[gibor]

Today initiated a very small position in CNQ (just had some cash leftovers in one of the account).
Also had limit buys set for CHE.UN and GBG -> but nothing got triggered.