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Today was a good day to own puts.



I want to take some time to review my current positions. (I do have other positions, but will start with the ones already disclosed since this blog is just getting started). On the right hand column is a list of my current positions. I will update them every so often.

SPY puts - This is currently my best position. See my post on Feb. 6th, where I said:

I just purchased SPY APRIL 85 PUTS as the S&P is reaching some overhead resistance at 880. In my experience in this bear market, the best time to purchase PUTS has been on days like this, when it hurts the most.....Let's see if this keeps working.

The answer is YES, it keeps working. This position is currently up over 40%.

SWN puts - These are looking pretty good, but I need a drop below 32 to become profitable. These expire in March, so I need to see a drop below 32 soon.

IYR puts - This one is profitable, but is driving me nuts. I have shown a complete lack of discipline with this position. I bought these puts at 2.10, watched them move quickly to 3.50, back to 2, and now back to 3. These "round trips" are frustrating and unacceptable at this point. These puts expire in March so its time to be more nimble and take profits!! This stock is back below 30, and i still think it will visit 27 in the next few days.

FNF - This stock ran up as soon as I bought my puts. I gave this one a longer leash than I probably should have, but I am letting it go for a little. It pulled back nicely today, but I need a drop below about 16 to become profitable. My puts expire in June, so time is on my side.

AZO - This stock shot higher after I purchased puts, but I think it may have been a failed breakout as the stock has pulled back nicely the past couple days. My puts expire in June, so time is on my side.

Tomorrow should be another interesting day. I expect to see some sort of bounce from the bulls. They better start buying soon, because that bottom is awfully close....