<p>If you don’t really want go sell it…why bother hedging?</p>
<p>You can buy otm puts and sell a call spread…so you won’t be short contracts. </p>
<p>For example …you can sell the jun 77.5calls…buy the jun 82.5 calls… Then you can buy the jun72.5 puts. Or sell the jun 80 calls and buy the jun 85 calls… And buy the jun 70 puts…</p>
<p>But you give up some upside…</p>
<p>Calendars…</p>
<p>Buying a Calendar is buying the further out month and selling the near month…</p>
<p>You can buy a calendar if you think volatilty of the options is going to go up…</p>
<p>The stock isn’t going to move…you can buy a different calendar…</p>
<p>You think the near month option is going to go out worthless…then you would own the farther out option cheaper… For example…if you buy the aug 77.5 calls and sell the jun 77.5 calls for 1.62…and the juns go to
0…you would own the aug calls for 1.62…could be good…maybe not.</p>
<p>If you want to roll out of the stock and into calls…you can buy a calendar…</p>
<p>We can talk about selling calendars another time…</p>
<p>Instead of worrying about utx, I bought 6/16 134 spy puts for 3.1, sold 6/16 spy 130 puts for 1.76 and 6/16 129 puts for 1.52 = +.18, probability of 129 being assigned = 27%. I’ll probably roll it over if we get to that point.</p>
<p>I have no idea why Whitney Tilson is allowed on tv or why anybody would give him money to speculate with.</p>
<p>Looks like a big time gambler to me…</p>
<p>[Of</a> Whitney Tilson’s $345MM In AUM, $104MM Is In Call Options, $24MM Is In Warrants | ZeroHedge](<a href=“404 | ZeroHedge”>Zerohedge)</p>
<p>“For all the totally inexplicable facetime T2’s Whitney Tilson gets on prime time financial comedy air, one would imagine that the man runs billions and billions. Instead, as per the just released 13F, Tilson’s fund has a grand total of $345MM in long AUM as of March 31. So far so good, however that does not explain why the manager has a Sharpe ratio of roughly 0.00 in the past 3 years. Well, now we know: of the $345 MM total, a ridiculous $104 Million is in call options! In other words, not only is Tilson nothing but a bullish bet that copycats various other select hedge fund portfolios, it is a mega-levered one at that, with what appears ridiculously high theta! It get’s worse: as it turns out, another $24MM or so is… in Warrants. Yup: all levered products without actually owning the underlying, leading to massive monthly swings in actual P&L. In other words, real assets held by Tilson amount to $217 Million. And one wonders why the fund can be up 20% one month and down 30% the next… or how Tilson can spend hours a day on TV.”</p>
<p>Even a broken clock is right twice a day…Whitney Tilson has made some good trades and probably as many bad…imwonder how many of e ‘good trades’ were helped by insight that the public can’t get. ;)</p>
<p>No, the great thing for Tilson and similar guys is they get a nice percentage for just managng their clients investments,regardless of outcome…and better yet, if their trades are profitable…</p>
<p>"Even a broken clock is right twice a day…Whitney Tilson has made some good trades and probably as many bad…imwonder how many of e ‘good trades’ were helped by insight that the public can’t get. "</p>
<p>I don’t know much about this Tilson fella, but he looks good on cnbc. As you gamblers are aware, its not just how many good or bad trades he makes but how much he makes or loses on each trade. He only needs 1 good winner and still have a lot of tiny losers to do well.</p>
<p>His track record in 2010 and 2011 is not great.</p>
<p>Here is the thing…you are around awhile…and you learn who is full of s… And who isn’t. You learn by what people are doing who is good…and who is trying to score a big win…because people confuse big wins with being good…and big wins can attract “Fast Money”. ;)</p>
<p>Doct, I am sure…in your area of expertise…you know who is good and who isn’t.</p>
<p>The Guy who runs Teza is excellent. Blair Hull was a genius. There are some great guys…but they aren’t on tv. Ok…very rarely.</p>
<p>I listen to certain things from certain people. An example is Jim Cramer. I don’t listen at all to his picks but he does offer some good pointers including not selling into a panic, looking at short interest in a stock etc. I listen to the fast money guys in general because they give me some insight into how a lot of short term traders think. Since they usually differ in their opinions, it gives a good sense of the general confusion in the market - particularly these days.</p>