While the Diary of a Mad Hedge Fund Trader focuses on investment over a one week to the 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.
I want to make one more suggestion this morning and the suggestion is on iRobot Corp (IRBT).
I think the bounce is it experiencing is an opportunity to short the stock.
As such, here is the trade.
Buy to open November 8th - $51.50 put for $1.05.
As I am suggesting you trade the front week options, limit the position to a 5 lot or .05% of the portfolio.
If we don't get the break I expect today, I may close out the trade quickly.