While the Diary of a Mad Hedge Fund Trader focuses on investment over a one week to six-month time frame, Mad Day Trader, provided by Bill Davis, will exploit money-making opportunities over a brief ten minute to three day window. It is ideally suited for day traders, but can also be used by long-term investors to improve market timing for entry and exit points.
With this market not showing any sign of rallying, I am going to suggest you book your one-day profit on the Facebook position I suggested yesterday.
We can always put the position back on, but I would rather book a small profit than hold.
My suggestion today is this:
Sell to Close December 28th - $144 call for $3.95
Buy to Close December 28th - $147 call for $2.30
The overall cash gain on the suggested 5 lots will be $195 for a day.
