Lazy

So lazy...........that is my feeling as of late. Summer school has actually been quite interesting and relaxing, and although I have been very active in my trading I have felt no urge to post. The portfolio is still hovering in the 4K-5K range and I feel great about my positions heading in to the next few weeks. Silver Wheaton (SLW) has taken off like a rocket and I unloaded 1/3 of the position today for a 100% profit. I plan on unloading another 1/3 in the $10 area which I think is reachable by mid next week.

I also doubled down my position in GGC - purchasing another 50 calls for the August expiration for a nickel each which cut my average cost from 0.66 to 0.36. I am just looking for a breakeven on this one at this point in the game although that may be too optimistic. I am still counting on great earnings and the stock trading back into the $30 range, but not higher.

My position in Webzen has been ticking up everyday as well and I anticipate it trading in the $7 range sometime in the next few weeks as soon as the banks suck in some more sucker retail money. This is a sucker's rally plain and simple - but it has proven to be extremely powerful and just made a huge huge move. Webzen is my position with the most potential. If they make some positive PRs during the right market climate it could trade into the $10 range. That could move my $7.50 calls into the $3 range and turn a $1000 position into a $20,000 one. That is probably too optimistic, but I do think that $7 is in the cards.

Finally, Avalon Bay has gone straight up following the FOMC based on the lower interest rates. I think this one is in a trading range and I see it trading back into the low $100s as soon as the bond market gets a reality check following the inflation numbers in two weeks. I will buy more PUTs if necessary as I have already increased my position by 500% today.

Here is the portfolio snapshot. I am positioned just as I would want to be if I went out and bought stuff all over again today. Lock and load baby:


Best regards,

BG

Recent Trade Performance

Recent trading has gone well, although I have been friggin swamped with work and then even 12-13 hours on the weekends working for my inlaws slinging chop suey. I thought that I went to college and now law school so that I didn't have to work fast food.......but much to my surprise that is not the way that MY world works at least.

Anyways - the recent trade performance has turned out. I had a good profit on PMI and also on AVB, although I took a $800 loss in GG. Total trading profits were $1,400. This DOES NOT offset the $3,500 loss in GGC (actually $8,000 loss if you include the built-in profits). I am clawing my way back from this one and it is going to be rough getting my stake back.




I initiated a new long position today in Webzen (WZEN) - picking up the September 2006 $7.50 calls for $0.15 each - I purchased 70. I expect this thing to bounce with the rest of the market this summer and am looking for a $7-8 share price and a $1.00 each for the options. I will sell half of the options if they double and redeploy the capital into other things. I may also double down in GGC - doubling the August call positions at a $.05 and change. I figure that I can cut my cost on the options in half into the $.30 range. They should still blow out earnings. Stock may hit $30 again - and maybe I can break even on the whole deal. Opinions? It should cost me less than $300 to perform the double down or 10% the cost of initial investment. Common is at $22 now - probably bottoming at $21 in a couple days. Oil is also weak as is natural gas.

Best regards,

BG

Gold

Gold just broke to the downside piercing a multi-year uptrend line. Next support is the 200-day moving average of $540 where I will probably be a buyer. Here is the chart:



BTW - Georgia Gulf decided to buy a company twice as large as them (idiots) so their stock is down 30%+ and the position is blown out to $0 after being up as much as $6K!!!! I am coping and it looks like my PUTS on AVB and PMI may bail me out yet. Still GoldCorp is also blown out and the bear is rearing its head big time.

Regards,

BG

New position - Avalon Bay (AVB)

Picked up 5 June 2006 put options on Avalon Bay with $110 strike price for $1.70 each. I am expecting a retracement to the $100 area and hopefully a $10 options price for a 500% profit. We will see.

Regards,

BG

New Position

Initiated a new position in Goldcorp today. I bought two of the June $25 strike price call options. Long GG.

-BG