SIRI Monthly Thread October 2015 (with NFL Chat)

[denco1]

It's good to have an exit plan denco....a strategy. The challenge is sticking with it and keeping your sell discipline as the price rises. We all know, from hard won experience it can go down a lot faster than it went up - certainly not just SIRI, but all stocks. Usually I would ask "why not sell the covered call at say, $4.50 and get paid to wait?" Usually this strategy has the added benefit of enforcing your sell discipline because as the stock price rises it starts to cost more and more to buy the calls back, which is usually a deterrent. But in the case of SIRI, there is really no premium offered at $4.50....not until you go out to march16 and even then it's not even a dime. Too much can happen in the next 5 months to make that a worthwhile transaction.
I guess another way to look at that is that the "smart money" isn't willing to pay up too much to lock in $4.50 so they must not feel very confident that it's gonna get there anytime soon....anyway, that's my $.02

Can we go back to talking about football and stuff now? Cause that's all the acquired SIRI wisdom I've got to share.

Thanks for the input, User. Next time you see EDIT: A good time to enter - a good option strategy for a long position such as this one please let me know. I don't know much about options but have wanted to move in that direction at some point. Even if it means having some of my long position called away at higher levels.....Tks for the input.

[dm_4]

Sold 30k more shares at $4.08.

nice hit bdp...congrats man!

[user34615145]

Hey Denco, thanks for asking. How the heck are you?

Trading quite a bit less than I used too but I still look to you, Bassman and others on this board for insight on trading opportunities with SIRI. It has been a good ride, one of my better money makers. Now I just need the world to realize AAPL is undervalued and I will be REALLY happy!

Agreed with respect to AAPL. I sure wouldn't sell it here. Still, even with today's pullback I'm a bit nervous buying at these prices. My strategy has been to sell the puts and try to pick up shares a bit cheaper. For example earlier today I sold this Friday op-ex $111 puts for $2.07...so if the sp keeps going down and I get put the stock I'll essentially be paying under $109 for them. Then I'll turn around and sell next week's $115 -118 calls and try to pick up a couple of more $$$ without actually getting the shares called away...if they DO get called away I go back to selling out of the money puts.

[dm_4]

Maybe they want newly minted bagholders so they can short the piss out of it gain. I mean last time we hit 4.18 they shorted us all the way to 3.00 bucks.

[user34615145]

Thanks for the input, User. Next time you see a good option strategy for a long position such as this one please let me know. I don't know much about options but have wanted to move in that direction at some point. Even if it means having some of my long position called away at higher levels.....Tks for the input.

My strategy with calls is simple. Look at what other holdings you own and ask yourself "how long do I want to hold this stock and what price would I be happy to sell this at?"
Then go look at the options chain for a expiration date and price that is meets those needs. If neither do, then perhaps it's not worth it. Or...if you hold the stock and want to "create your own dividend" but not necessarily sell the stock yet, pick a strike price that is well above the current market price but not too far out - maybe a month....and write the call. worst case is it DOES get called away. Best case is, it doesn't and you just re-write those calls next month...and the month after and so on.

[dm_4]

My strategy with calls is simple. Look at what other holdings you own and ask yourself "how long do I want to hold this stock and what price would I be happy to sell this at?"
Then go look at the options chain for a expiration date and price that is meets those needs. If neither do, then perhaps it's not worth it. Or...if you hold the stock and want to "create your own dividend" but not necessarily sell the stock yet, pick a strike price that is well above the current market price but not too far out - maybe a month....and write the call. worst case is it DOES get called away. Best case is, it doesn't and you just re-write those calls next month...and the month after and so on.

Dough boy we get it. zzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzz

[midas360]

I have no problem ignoring that fat douchebag that claims to work out everyday. I have him on ignore yet he continued to stalk and bash every comment I made. If the fat loser would agree to that, I am down for it. BUT I refuse to change my opinion on Sirius XM or any other stocks. I have just as much right to be here as you do. If you have a problem with it then ask Charles. I am sure DM emails him daily asking him to ban me. HAHAHA

Consider the fat loser IGNORED. HAHAHAHAHAHA

Edit: Has not hit $4.10 and TIME IS OUT! hahahaha I love it.

[siriusly_invested]

Agreed with respect to AAPL. I sure wouldn't sell it here. Still, even with today's pullback I'm a bit nervous buying at these prices. My strategy has been to sell the puts and try to pick up shares a bit cheaper. For example earlier today I sold this Friday op-ex $111 puts for $2.07...so if the sp keeps going down and I get put the stock I'll essentially be paying under $109 for them. Then I'll turn around and sell next week's $115 -118 calls and try to pick up a couple of more $$$ without actually getting the shares called away...if they DO get called away I go back to selling out of the money puts.

My thoughts exactly, User........ but just in case that strategy should go awry, I picked up 200 shrs of AAPL this morning as it dipped into the gap around 115.50. That move was suggested in the P&F so I just thought it was a good time to make the play.
So far I'm up 30 cents so that's a good sign.

[bdp.]

Maybe they want newly minted bagholders so they can short the piss out of it gain. I mean last time we hit 4.18 they shorted us all the way to 3.00 bucks.

But the bounce off the $4.18 top was much quicker. This time it seems to be building an unusual momentum and doesn't seem to have much downward pressure acting on it. I think I'm going to hold off on selling any more shares until I see a definite weakness that will allow for a buy back at a lower sp.

[denco1]

My strategy with calls is simple. Look at what other holdings you own and ask yourself "how long do I want to hold this stock and what price would I be happy to sell this at?"
Then go look at the options chain for a expiration date and price that is meets those needs. If neither do, then perhaps it's not worth it. Or...if you hold the stock and want to "create your own dividend" but not necessarily sell the stock yet, pick a strike price that is well above the current market price but not too far out - maybe a month....and write the call. worst case is it DOES get called away. Best case is, it doesn't and you just re-write those calls next month...and the month after and so on.

Thanks User