Monday, February 12, 2007

Nvidia (NVDA) and Countrywide (CFC)

NVDA will post earnings after the bell on Tuesday. I find it interesting that open interest on the Feb 32-1/2 puts is almost double the calls and volume today on those puts is running about 20-times above the calls. Time and sales are indicating a good swath of today's activity mostly at offer.

Whether I do anything with NVDA remains to be seen since tech to me is often a gamble. I've got plenty of open postions already that need attention. I noted late last week that I picked up options in CFC. Those were the Feb 40 puts. I've hated CFC since the phony rumor came out by way of FT.com a few weeks ago. This is another bunch, this time a few hundred, picked up at .10, .15 and .20. Today the options have been bid up to as much as .50, so I'm busy paring some of that position back as well ahead of expiration. Insane.

2 comments:

Lauriston said...

Congratulations on your CFC trades - I've not understood how housing/mortgage companies continue to grind higher even when the evidence is so obvious that things are not going well.. maybe someone has been squeezing shorts recently but now it looks like it's all over for that sector, at least for a while. I guess this is where technical analysis helps out with entries and exits...

Jim K said...

And it's so spread out. when i leave these subprimers, i am going to redeploy elsewhere into the enablers. they are going to get burned and those are the big names.