03-30-2020, 07:58 PM
(03-30-2020, 07:50 PM)stockguru Wrote: Most every stock is in a V shape and has the same chart. They will all correct and the market is about to test near the lows. Just have patience.
Buying a PUT on SPY is a smart idea
One question and its only a small one.. Thoughts on PII
Stock has consistently raised its dividend and is now a its 2011 levels. PE 9 and yield of 5.13%
This is a stock I have always wanted to own
Frankly, the premiums on SPY put options are getting silly, and this is quite clear from volatility figures, even on light-volume 4% up days like today. SPY puts are becoming a very crowded trade, and the premiums compared to six weeks ago reflect this. I think there will still be a brief window to make everything down through maybe 220 strikes rather profitable in the next 30 days, but adding to my SPY puts is not my number one priority.
There are other severely dislocated assets out there. Dollar is very strong, despite the Fed increasing its balance sheet by 25% of GDP in a week. Crude is at 20-year lows. The cheaper option premiums are in places other than SPY.
For the record, my DGI stuff is all intact, except for Boeing and Ford. They violated my rule of not cutting dividends or being at severe risk of doing so.
Will keep future discussion of risky side-bets to the appropriate threads.