Wang’s Happy Trading

The day started out well. People were a bit jittery on the market before the Fed announced its decision on the rates. They were so jittery that some people ran right after another quarter-point percentage cut in the federal funds rate was announced, driving the market into the red. But, big buyers immediately came in and drove the market higher…and higher! The Dow closed up +137.54 points; SPX added +18.36 points; and Nasdaq gained +42.41 points!

I’ve done fairly well in the past few days, including today, making quick trades and keeping lots of cash:
AAPL Dec 200 calls, APVLT, at $6, 0.8% (all out)
GS Nov 240 calls, GPYKH, at $12, +9% (partially out)
GS Nov 240 calls, GPYKH, at $13, +18.2% (all out)
FSLR Nov 150 calls, HJQKJ, at $14, +6% (all out)
ICE Dec 170 calls, IHHLN, at $16.8, +8.3% (all out)
GOOG Nov 650 calls, GOOKJ, at $39, +20.9% (more out)
GOOG Nov 650 calls, GOOKJ, at $42.3, +31.2% (all out)
BIDU Dec 370 calls, BPJLN, at $39, +9.9% (all out)
GOOG Nov 690 calls, GOQKR, at $19, +8.6% (partially out)
BIDU Dec 380 calls, BPJLP, at $37, +0.8%
GOOG Nov 690 calls, GOQKR, at $20, +14.3% (all out)
UA Dec 60 calls, UALL, at $6.5, +6.5% (partially out)
AAPL Dec 200 calls, APVLT, at $6.2, +4.2% (partially out)
UA Dec 60 calls, UALL, at $7.1, +16.4% (all out)
GS Nov 230 calls, GPYKF, at $13.5, +40%
WFR Jan 70 calls, WFRAN, at $10, +47%
PCU Dec 135 calls, PCULG, at $12.8, +14.3% (partially out)
PCU Dec 135 calls, PCULG, at $12, +7.1% (all out)
BIDU Dec 370 calls, BPJLN, at $36, +1.4% (partially out)
FSLR Nov 150 calls, HJQKJ, at $15, +13.6% (partially out)
GRMN Dec 120 calls, RZJLD, at $14.4, +6.7% (partially out)
(see Happy Trades!! for more details)

WFR, GOOG, BIDU, and GS trades have been very profittable!

Let’s see how the market closed:

It’s pretty much GR$$N across the board. HGX (housing), however, didn’t quite make it back after the Fed announcement. INX2 (Internet), SOX (semiconducotors), and BTK (biotechs) were solid. It’s good to see SOX back above 460. USO (oil) jumped +5.36%, while OIH (oil services) added +2.45%. GLD (gold), GDX (gold miners), and XME (metals and mining) all went up nicely, adding +1.64%, +3.65%, and +2.06%, respectively. XLF (financials) gained +1.35%. SWH (software) jumped +2.13%. FXI (Chinese ADRs) flew +3.35% and recorded a new all-time high at $219.56!

SPX

SPX gained +18.36 points to close at 1549.38, a hair shy of 1550, which was the July high level. Its chart is looking much better, starting to look more bullish again. It closed above the daily MAs and the MACD is turning up!

Nasdaq

Nasdaq jumped +42.41 points to close at 2859.12, a new multi-year high! It has recaptured its daily upper BB! Its daily MAs are rising nicely in their bullish formation. The MACD is now positive!

Now, I think I’ll feel more comfortable to start utilizing more of my cash position and start looking for longer-term trades!

This morning, MA announced spectacular earnings, and its shares charged up almost $33, or +20.85%! GRMN also announced a strong quarter report, but the investors didn’t seem like the $3.3B bid for Tele Atlas, at least not yet. GRMN shares were down more than 10% today. After the market, CROX got hammered as its 2007 earnings guidance disappointed investors. Its shares traded down more than 23% in AH! GOOG today topped $700/share for the first time! It closed at $707 (lucky numbers?) as its target got raised to $985/share!! Oh my!

Good night and HappyTrading! ™

ps. It’s the last week to get 20% off Wang’s Happy Trading membership before the fees go up!