The Volatility Trader
105 W. Monument Street
Baltimore, MD 21201
Thursday, May 10, 2007
Email – #266
Volatility Trader Alert
Dear Subscriber,
I am very happy with the way the portfolio is moving…
Today, close 1/2 of your James River Coal (Nasdaq: JRCC) June 2007 $7.50 calls (JQM-FU) for a 90% gain! Another huge winner!
Also, we are going to close our Plantronics (NYSE: PLT) November 2007 $22.50 calls (PLT- KX). At the current bid of $4, it is a meager 2.6% gain. However, I don’t like the trading action here, and would rather flat the trade than see any of you take a loss.
While our Intercontinental Exchange straddle and Digital Reaity Group puts are both red, I am not concerned about either of these trades here whatsoever… When they break, they are going to be big winners!
*** NEW TRADE ***
I believe a short-term top is in, and given such, we are going to buy the Diamonds (AMEX: DIA), the Dow Jones Industrial Average tracking stock, June 2007 $132 puts (DAW-RB) for now more than $1.75.
This is a short-term trade, and I expect to exit it within a few days. We will close the position at any time if the Dow makes a new 52-week high.
Exit is everything,
Mark Whistler
Current Portfoli
Diamonds Trust (AMEX: DIA)
Jun 07 $132 puts DAW-RB
Purchased: New
Current Price: Buy for $1.75 or less.
James River Coal Company (Nasdaq: JRCC)
Jun 07 $7.50 calls JQM-FU
Purchased: 4/24/2007
Current Price: Take Profits and Close Position
Plantronics Inc . (NYSE:PLT)
Nov 07 $22.50 calls PLT-KX
Purchased: 4/13/2007
Current Price: Take Profits and Close Position
InterContinental Exchange (NYSE: ICE)
June 07 $100 puts ICE-RT
Purchased: 3/21/2007
Current Price: $.00
June 07 $155 calls IHH-FK
Purchased: 3/21/2007
Current Price: $2.10
Digital Realty Trust (NYSE:DLR)
July 07 $40 puts DLR-SH
Purchased: 3/14/2007
Current Price: $.65
