Search results

there's been a somewhat noticable (if often short lived, though) pattern of oil (i use USO as a quick realtime reference) prices and the services/big-oil (slb, rig, bp, xom) lagging behind. If there is a large enough discrepency, often a predictable change in the stock occurs. I bought some...

i disagree. Specualation is always abound, just in different investment classes. We just finished (i think) a housing boom. Now its commodities. And we're not the only players in our markets now -- other countries, especially ones collecting large amounts of dollars from their gas and...

check this out. thoughts? http://articles.moneycentral.msn.com/Investing/JubaksJournal/TheWorstCaseScenarioIsNotAboutUs.aspx?page=1

yeah. i bought 10 puts at the top.. we'll see. with that amount of shorted float, perhaps 1 million of today's share volume was buying to cover... hopefully it won't be a new lesson learned (ie: don't buy puts on a recently heavily covered stock).

?? explain ?? but, seriously, i wonder how atm straddle selling has typically done in post-acquisition environment?

That's what i'm trying to figure out (in general) I'm thinking about high profit high dividend value companies like MO and VZ that I can also write covered calls against... I could get my yield up to 10-15% with any decent amount of luck. Energy transportation is very high yielding right...

This sounds great, ideally speaking, but housing collapses are slow to show since the asset is relatively illiquid. But to borrow against your property, you'll likely pay 7% annually to do it. You'll need to beat the 7% to break even. Take a look at the builders - KBH, Toll, etc. - they're...

The fact that housing is relatively illiquid runs to your benefit to reduce your risk on your leverage. You timed it well. But lets say you bought today at an inflated price, took 3 months to fix up, and another 3 to sell. By the time you exited, you could only sell for 50k (with at minimum...

I didn't show much rent appreciation for any specific heavily researched technical reason. The point was two-fold: 1) to offset non increasing prop taxes and other costs (maint/etc) I was too lazy to calculate. (which also appreciate to match inflation) 2) Remember, a house does not get...

Your situation is certainly nice, and now you probably have $50k in equity. You show the power of leverage. When I made my statement, I was really considering people who have more equity in their home than this - ie 20-50%. They are losing a bit more than you on lost dividends. A few...

You're right, I forgot insurance in my spreadsheet. A homeowner's premium will be several times a renter's comparable. I don't think the exercise does any damage when considering the picture. Its important to look at the entire puzzle, at least when planning your finances. And I agree...

On the other hand, the owner who purchased two years ago is not gaining interest on his home equity (as if it were in cash equivilents), and he is also exposed to a leveraged reduction in the prop value if the market corrects over the next few years. Not a position I'd like to be in, unless I...

True. both increase, but I wanted to give renting a fighting chance with ownership. Same thing with prop taxes. Although in CA, prop taxes are limited to 2% growth per year, but will not grow if prop values go down. I'm willing to bet prop values flatten or decrease by 5-25% over the next...

In other words, owning it at today's price and renting it out for $3k/month (a profit/breakeven). :) That was the good old days.

what positions did your own on kmh and wgr? some out of the money calls would've been nice. haha

Tried to get performance numbers, and they seem to require login. Whats the jist of his performance? I'm too surprised that McMillan wouldn't be able to have an edge over other hedge funds. So far I'm reading his 'on options', and I think there's a lot of good ideas in the book. Its a good...

Which reminds me, what the the SEC limitations on insiders buying options of companies they buy before announcements? :) they're not actually affecting the stock price for shareholders, just screwing over fellow option gamblers.

Of course. I was just referring to the selling side. Of course the buyers did well and the sellers hopefully owned the stock.

sounds like you are. take the extra 1500 or 2k you're saving a month by not buying now and save that away until short term fed rates hit 1% again (probably about 4-8 years out) and no one believes in houses, but the numbers pencil do out. Then you'll do well. Until then, save away and get...

hah.. if you only knew the day hi and low were happening when they do, you'd have the key to unlimited wealth.