Do you remember the guy in high school who never had a job but he did have that shiny new Camaro daddy bought him? And that kid drove around in that car with that cheerleader while I was biking to my part time job. Where are they now? Who cares. Do you remember some of those much anticipated internet IPO’s over the past year or so? I thought it would be interesting to ask….where are they now?
IPO $ Todays $
Angie’s List (ANGI) 13 10.10
Facebook (FB) 38 19.99
Groupon (GRPN) 20 3.92
Pandora (P) 16 7.81
Yelp (YELP) 15 17.78
Zynga (ZNGA) 10 2.16
This list reminds me of why I don’t watch movies anymore. Films have so much Hollywood hype that sets me up for so much disappointment to follow. Too many special effects and overuse of surround sound. What happened to good story telling? Well every stock has a story to tell just like the ones above. You need to pay close attention so you can form your own opinion on how the next part of the story will unfold. A reasonable forecast on a stock’s performance may allow you to take advantage of the different daily, weekly or monthly outcomes through options.
Do you know this year I have traded options on only six stocks? My Watch List includes fourteen stocks. It’s my virtual trading pit. You see stocks are like your kids, they’re all different. Their make-up and behavior are different. And how many kids could you watch for six and a half hours a day? Exactly!
In the busy world of options trading, it’s a good idea to journal how your Watch List of stocks has performed under different influential circumstances such as earnings releases. Just like kids on a playground some will fall, some will climb and some just hang around. I have options strategies for stocks just like that.