Saturday, March 7, 2009

Sunday Investment Club

Double your money in a week!

Sound impossible? Hey, you could have done it right here if you followed Corkface's tip last week to buy puts (betting on a decline) on HSBC Holdings (HBC), the giant international bank holding company. Corkface bought 20 contracts, April 30 puts, for $230 each, or a total investment of $4,600. As of last night, those contracts were worth $16,200 as HBC plummeted last week on lousy earnings. Corkface's two other picks (TYSY and MBRK) declined slightly, but overall, he turned his $10,000 into $21,010 in five trading days.

The Crimes of Austin Carr may have the hottest stock picker around!

"I'm not selling either," Corkface said last night. "These banks are going lower still."

Guess we should have listened to Corkface again. Our BankAmerica calls dropped by half, and our investment in Odyssey Marine Exploration (OMEX) also tumbled. Our $10,000 turned into a bit over $7,700 last week. Ouch. Grandma, the old conservative lady who is slowly buying SPY, saw her $10,000 drop to $9,039 last week.

No problem, I say. Corkface can't be right about these bank stocks forever.

Can he?

Hey, and it's not too late to join the party. Pick your stocks in the comment section. You have $10,000 to spend at Friday's closing prices. C'mon you guys and gals. You've got nothing to lose but your pride. Play with us and I'll have TFA send you a BIG MONEY WORLD TOUR official staff T-shirt.

4 comments:

corkface said...

Sold 20 april 30 puts hbc @ 6.90 Tues morning.
Profit- $9200.00
Still long MBRK, TSYS

corkface said...

I have cash balance of 13,800.00
I'm going to buy:
20 hbc june 20 puts @ 2.70.
Cost $5400.00

Austin Carr said...

I'm selling my 30 BAC May 5 calls for a $1.80 bid, a gross gain of $2,400. Holding onto the $5,400 cash I just raised... for now.

Austin Carr said...

I'm buying 2,000 shares of DISK for $1.27 each with some of my cash from BAC calls.