Trade of the Week (SVU) 2.17.2012
Unprofitable: This trade is unprofitable if SVU Closes under $7.20 by March 16, 2012. The most I can lose on this trade is the amount I paid for these Calls, $.20
Reason I like this Trade: I have watched and traded SVU over the course of the last couple of weeks. I have been profitable, so I continue to trade the names that I have made money on and pass on stocks that I lose money on. SVU has sold off very hard on earnings and I remembered that a customer sold 32,247 SVU Feb 7 Puts about a month ago, so I figured the stock would rally today and close above $7. When a customer bought 5700 March 7 Calls for $.20, I jumped on board and bought them as well.
UPDATE 2.17.2012 I sold 1/3 of these Calls for $.25, 1/3 for $.30, and then 1/3 of the Calls for $.35. This averages to $.30 and I paid $.20, so this is good for 50% in a day. Ill take that for some beer drinking money and move on to the next trade.
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