Thursday, December 12, 2013

Lifetime BAC Chart Says Upside is Virtually Non-Existent

I closed out my JAN BAC 15 Puts @ $.39.  I purchased them a few weeks ago @ .25.  I still love BAC as a longer term short at these levels but I believe there could be some shorter term upside. I think the big money will be made in the 1st or 2nd quarters of 2014 and I am looking at credit spreads going out several months.  I think this is a better way of playing a swift move lower than an outright short or long put trade.
ps- I'm losing my mind today. I closed out my /ES short for a tiny gain. We are trading right above a volume hole that has traditionally been support. Until we break through it to the downside, the safest bet is to be flat. Possibly even a small spec long.

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