Sell half the Bunge April $80 options now to lock in a 14% gain in about 24 hours. We could be looking at significantly more upside over the next month or so...
But with the markets acting spooky still... and the lemmings in the financial media rattling their sabres of self-fulfilling prophecy... dear hearts, let's take a quick double-digit gain off the table and hold on for what could be a fun and wild ride for the next few weeks.
We bought at $2.35 or better and will be looking to sell at $2.68 or better... Work your order, see how close you can get... and pocket the proceeds.
We'll let the other half of this position run, because I do see Bunge going in the money on these calls within the next two to three weeks... particularly after the Fed announcement on March 21. (Hint: I don't see Bernanke raising rates or lowering them... and historically, that has been a tremendous thing for stocks... During times when the Fed does nothing, stocks outperform by nearly 10-1 over periods following the announcement of a rate adjustment.)
Meanwhile, I've noticed that CTEX did bounce its big, silly head off the top of its normal range and is now threatening to stop out again... Good times, eh?
Good trading,
James
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