Sponsored By:
| Dow | 10,318.16 | -14.28 |
| NASDAQ | 2,146.04 | -10.78 |
| S&P | 1,091.38 | -3.52 |
- Events & Appearances
- Special Reports
- Getting Started
- FAQ
- Modify Your Account
- Glossary
- Renew Subscription
- About the Adviser
November 21, 2009
- Subscriptions:
Canadian Solar (CSIQ) Profits
March 12, 2009ACTION:
"Buy to close" the CSIQ July 10 Calls (GQAGB) for 10 cents or better
Dear Fellow Options Trader,
On Jan. 15, we recommended you open the Canadian Solar (CSIQ) July 5/10 bull-call spread (GQAGA/GQAGB).
To establish the spread, we sold the CSIQ July 10 Calls (GQAGB) for 60 cents and collected the premium to help offset the cost of the long portion of the trade via the CSIQ July 5 Calls (GQAGA).
Today, we have an 80%-plus gain in the short leg of the spread, and with the stock having pulled back, it is time to take the upside limiter off of this trade. We recommend you "buy to close" the CSIQ July 10 Calls (GQAGB) for 10 cents or less.
However, continue holding the CSIQ July 5 Calls (GQAGA). Energy prices have started to climb again and with a July expiration, the stock will see many opportunities to rally between now and expiration, which should put the remaining long calls back into profitable territory.
Have a great day trading.
Nick Atkeson and Andrew Houghton
Editors
Options Trader
