Well, it’s another terrific trading day, with financial weakness leading the way. I have puts on a variety of financial-related instruments (BAC, FITB, HBAN, MET, PRU, TD, WELL) and my best percentage gainer from all my positions (+137% at the moment) are my July $13 puts on HBAN. I’ve trimmed this by about one third, since I’m fighting being greedy. Bears and Banks are good friends right now.

This has taught me not to shun puts on stocks with nominally low prices. See, I usually like stocks that are expensive since there’s plenty of juice to squeeze. But HBAN is by far the cheapest nominal stock in my portfolio (only $9.54 right now!) but it’s done GREAT for me, whereas MDB, which is in the hundreds of dollars, has produced nothing but losses for me all year long, in spite of its ostensibly good pattern.


