Trades for 2011/01/13 (SQNM)

[cosmic]

Bought 6000 shares @ 7.35
Sold 40 Feb 19 8.0 calls @ .38

Notice I did NOT sell the entire set of shares as covered. This is a hedge against another sudden rise in SQNM. With this hedge, though I'm still in good shape selling the 8 calls, I can further profit on any sharp rise against the short position. Downside is still there but I think this is a relatively mild play.

[cosmic]

Previous SQNM play detailed here... position still active

fastopia.proboards.com/index.cgi?action=gotopost&board=cosmic&thread=13674&post=142341

[cosmic]

Both positions will close today OTM, and I will receive the full premiums. Currently, the play is technically red as SQNM has fallen below what would become my adjusted basis with this dip.

I will add most likely on this dip next week, and prepare to sell another batch of calls on strength.