Here’s the transcript of today’s chat. See you next week at 2pm EST at https://tradingwithcody.com/chat for more Q&A where you can ask me anything. Q. Cody, after reading your united states of Apple piece, I would like to buy more AAPL calls…what would you suggest??? A. hmm, I think you’ll see the strategy I’ll suggest […]
Don’t forget to join me for this week’s chat session
Don’t forget to join me for this week’s chat session at 2pm EST today at https://tradingwithcody.com/chat. The markets pulled back after the Nazz3K, but have since stablized. No other trades for me today yet. Quiet before the storm? Will the storm take us higher or lower? 5% move coming? Just thinking out loud. See you at […]
ZZ Top and Hondo Valley: Why you should never buy a small-cap penny stock
In general, the rule to investing and trading penny stocks (any stock trading at less than $5 is typically consider a “penny stock”) is: Don’t invest or trade penny stocks. Because they usually have such small market caps and so few shares outstanding in the markets, they are easily moved higher for the short-term, often […]
Trade Alert: Nasdaq 3k and buying common stock in this flash maker
And there you have it — Nasdaq 3K. I’d written a few times in the last week that it seemed like the Nasdaq was being almost magnetically pulled to 3k, despite how arbitrary and meaningless such a round number actually is. Boy, it just barely made it: NASDAQ Composite (^IXIC) 2,993.42 6.66(0.22%) 10:28AM EST Prev Close: 2,986.76 […]
United States of Apple
I guess I’ll make the compulsory mention of Greece and the endless euro crisis to start this week’s letter. But let’s take a different tack this week. Comparing market capitalization to GDP is apples to oranges (please forgive me for that one) but as I pointed out before, back when Apple AAPL +1.84% was about half the price […]
Trade Alert: Update and strategy for our homerun Apollo trade
It really bugged me once when I was still in middle school and I saw Duke coach, Mike Krzyzewski say after his player made a last second shot to beat North Carolina and my favorite player Michael Jordan, say, “Sometimes it’s better to be lucky than good.” But then he went on to explain that […]
The anti-Warren Buffett backlash and other must-reads for today
Here’s part of what every investor and trader should be thinking about today. Notes on the 2011 Berkshire Hathaway Annual Report, Part 1 and Warren Buffett, Mercenary and Matt Stoller: Warren Buffett Says “Hormones” Will Fix the Housing Crisis Talk about some backlash. Man, I’ve been pointing out the recently building anti-Apple-backlash, but there’s some real anti-Buffett backlash building out […]
Latest positions with ratings for each stock
Good Monday morning to ya. Stocks are down fractionally from the multi-year highs they reached last week but are trying to turn green as the morning wears on. I added to the Apollo puts last week and I’m looking to add to my Sandisk position, either using just common or some longer-dated call options today. […]
Diversifying your puts and an important reality check for an emailer
Two answers to two subscriber questions: Cody, I have APOL May 50 puts @ 4.45, down 54% now. Is it better to double down on these or buy another strike of ITM May puts? Thanks, love the service. The short answer to your question (pun intended, get it? “Short” answer to a question about one […]
Trade Alert: Nasdaq 3K Magnet and Buying some APOL puts
Boy that Nasdaq wants to get to 3k, doesn’t it? It’s just 1% away, and it’s just an arbitrary number, but it sure seems like a magnet for now. Trying to game the next 1% move in an index full of thousands of stocks isn’t a good idea though, so let’s not try. This morning, […]
Apollo Group looks ready to crack and lots of must-reads for today
Did you breathlessly hop out of your bed this morning to check on the latest developments from Greece and the Euro-crisis? No? Me neither. I’m not looking to force anything here, but I am considering adding to my Apollo Group put position. Will let you guys know any details if and when I pull the trigger. […]
Chat Transcript for Feb 22, 2012: Options, takeovers, oil and much more
Here’s the transcript of today’s chat. See you next week at 2pm EST at https://tradingwithcody.com/chat for more Q&A where you can ask me anything. Q. How often are you planning to change the rating system? daily? weekly? on an event by event basis? (I am thinking of Thai flood again and how would you change […]
Trade like a calf roper (and taking profits on the Dell trade)
Good morning and welcome back to the rodeo, where you have to hang on for more than 8 seconds. The markets are down a little bit to start the day. Let’s see what the mainstream media is blaming it on today: Stocks Fall on Global Manufacturing Data Ah, that ol “Global Manufacturing Data” daily catalyst. […]
Avoid the “easy money, no risk” pitches; And a brand new earnings trading idea
A good friend and business associate I know and admire sent me this email last night. And, as I get a lot of questions from you guys about random “incredible investment opportunities” and “easy money trades” that are very similar in theme to this, I thought I’d write up a full column that tackles these […]
Making some moves with my MSFT position
If you’re reading a paper, or watching TV or seeing the tweets roll in, you’ve no doubt heard the big news this morning: Rihanna recorded a song with her ex-boyfriend. Also, the European Union has some kind of agreement on Greece. Both are equally ephemera-licious. They don’t mean much at all, they aren’t significant inflection […]
appleconomics.com and full analysis on Apple’s current set up for traders and investors
As I’d noted last week, I’m going to be giving a speech at the “Apple Investor Summit” in LA in mid March. You can go here for more details. I’ve also recently built appleconomics.com (tagline: Everything you need to know about Apple and its impact on your world) as a new addition to my network […]
Trade like NPH: Latest positions (with a new ratings system)
You mock my pain. – Buttercup Life is pain, Highness. Anyone who says differently is selling something. — Man in Black Well, the UNM Alumni Board meetings on Friday turned out to be rather intense (fun too) and I’m now back from ABQ and hitting the pavement full speed today. It’s S’s over N’s this […]
Apple and the markets disconnect. Or do they?
Two days out from that “wild Apple reversal” that seemingly freaked out everybody and their dog as the markets reversed and sold off hard on Wednesday…well, nobody hardly remembers it. That said, you do realize that Apple has rallied 10% and fallen 7% and then rallied back 3%…in the last 11 trading hours. Crazy, and […]
LPS: Letting the Dust Settle
I am rightfully getting a lot of questions about what is going on with LPS. To be frank, I don’t have much to add to what I wrote about LPS yesterday: Q. What are your thoughts on LPS earnings report? I wasn’t impressed but the stock has gone up since they reported. Good time to […]
Meet me in LA for the Apple Investor Summit in March (And a few thoughts about the stock’s action lately too)
Remember that big reversal in the markets yesterday and how it had everybody on edge coming in today? So what does the market do, but barely move to start the day. Everybody’s talking about the Apple reversal yesterday and whether “it was significant”. I’ve read and heard about ten different “reasons for Apple’s big sell […]