BAGAKOAA; 9 August 2012 Solo Synchronized Swimming?

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August/2012
I am doing my best to stay up and watch the Olympics.  Yesterday we did a lot of running around and taking care of important paperwork.  By the end of the day, I had no new recipes for you so we quickly ran up to the local pub "Friends" and grabbed dinner.  I had a stack of Nachos.  It is the most unhealthy food I have had in about a week or so.

 

By the time the ladies volleyball was over I was out like a light.  (Douglas, I see why that is your favorite event.)  Jack, Devin, and I have been enjoying watching the Olympics quite a bit as we tape them and rush through the commercials.  I have to share one moment with you.  Jack, Devin, and I were in the car and she was telling us about the synchronized swimming she had seen during the day.

 

She made a point to tell us it was with multiple swimmers.  Well, Jack and I just lost it and I had to comment, "Not to be confused with the solo synchronized swimming."  Now that I think about it, if you had multiple personalities. . . . ?

 

Anyway, since I am enjoying a bit of a vacation, I have spent a lot of time with Devin.  She even asked me to join her today to feed the horses.  

 

Now this came as a bit of surprise to me because I thought we had been spending about $83,000 a week to have people feed, water, train, massage, walk, wash, rinse and provide mental therapy to our four horses.

 

Now it has been a bit warm here lately (No Butch, not as hot as Mohave Valley, AZ at 117 today), but 95 here with the humidity gives about a 103 heat index.  So when Devin asked if I want to go to the stables to feed the horses, oh yeah baby, I am all over that.  I was really hoping Coach Welch would call so I could stand out on the football field carrying heavy equipment in the heat all day today, but a trip to the stables was right up there.

 

So Devin opens here supply shed and there is a 40 pound bag of senior feed.  (Think of a big bag of dog food.)  I started ripping the bag apart so we could get it on here feed can, and after ripping the top to shreds, Devin suggested I just pull on the little string on the top, and viola, the bag easily opened.  (It was at that moment I heard Pedro, the big horse laugh at me.  Humiliating.)

 

Now I could not be sure it was him because in heat like this, they wear fly masks to keep the flies out of their eyes.  Do you know how annoying it is to not know if the horse is laughing at you because you can't see their eyes.  I mean I was standing right in front of this horse and could not see its eyes, really eerie. 

 

Devin and I finished filling all the feed buckets with some secret mixture of oats and supplements.  After screwing up the opening of the feed bag, Devin was not about to explain the secret blend of horse supplements.  I was relegated to fetching water so she could brew the amazing concoction.  I guess I couldn't mess up fetching water.  By now even the grooms at the stables were laughing at me.  I could tell because they were not wearing fly masks.

buckets  

Devin did let me carry the buckets to the horse stalls.  Now she did warn me I had to get the buckets hung quickly because once the horses smelled the magic brew, the would dive in with their heads (In the case of Pedro weighs about 350 pounds).  Now the bucket in Gunnie's stall was on this pinch clip device that I think were designed for horse snaffles.  (Devin, bet you didn't know that I knew that?  Heck who am I kidding she isn't reading this.)  As I tried to snap hook this bucket, Gunnie was head down in the bucket and I was now trying to hang a five pound bucket and a 200 pound horse head.  

 

Yeah I was loving this,  I checked my phone for a call from Coach Welch, no such luck.  Then we started walking back to Devin's car when she spotted a horse that looked in distress.  (Now I spotted next as Devin went to it's stall.)  When a horse extends it's back legs and especially in the heat, it could be colicing.  That is a horse stomach ache on steroids and it can be fatal.  Devin went and got one of the grooms and had them walk the horse a minute and it was fine. 

 

After than act of heroism, we headed to the grocery store to pick up some Chinese.  Then we relaxed and watched some more Olympics, which begs some questions to ponder.

 

Did you get the survey from NBC that must have asked the question, "How much volleyball would you like to watch during the Olympics?  30 hours, 40 hours or 60 hours?" 

 

Or, Why is that volleyball players have to hug after every play?  Even if there are 19 people on your team, after every play they have to hug each other.  Coach Welch, why don't we give that a shot this year.  Last year your guys were only hugging after each touchdown and extra point.  This year they could do it every fricking play.

 

Or, why don't American platform diver understand that small splashes are good.  The Chinese were good, as they entered the water like a javeline.

 

Or, did you get the survey from NBC that must have said, "How many minutes of medal presentations to you want to see during the entire Olympic broadcast?  One minute, a half a minute, or 11 seconds?"  Really, the only medal presentation they showed was the one where the American flag flew away.  What is up with that?

 

Anyway, we only have a couple of more nights left to complain about the NBC coverage so that means were are down to about 34 hours of volley ball coverage.  We hope you enjoy the hugging.

 

 A Mixed Bag of Tricks

 

Oil and gold crept up today, but the market went sideways.  This was a bit of slow week in the markets with moderate volume, in other words the conviction of the market was truly sideways.  There was a good unemployment claim number today, but other negative news kept the market flat.

 

The only happy news I can report about this market came about as a result of me selling put options over the last 5-6 weeks.  Here are a few examples.  We sold some Espress Scripts ESRX August 52.50 put options for $1.49 a contract.  That allowed me to collect the premium of $1.49 a contract (each contract controls 100 shares so this contract sold for $149.00.  We did buy more than one.)  It also obligated me to buy 100 shares of ESRX if the price dropped below say 52.50.  ESRX is now selling for 62.50 a share so these put options will expire worthless next week allowing me to keep the premium.

 

We have a similar situation with an August 97.50 put on Colgate Palmolive.  The contracts were sold at 1.02 a contract and the stock is now selling for 102 a share making the puts worthless so again I get to keep the premium. 

 

There are few to consider that are not coming due on the 18th of August.  We sold some Oct 30 dollar MSFT puts for 93 cents a call.  They are selling now at 97 a call.  If you think MSFT will be at or above $30.00 a share on October 20th, you can enjoy 97 cents a contract premium.  If it goes below 30, you get to buy 100 shares of MSFT for every contract.  The cool thing about this idea is you can sell these every month.  If the stock just goes sideways, you get to keep the premium.

 

We also sold some September ULTA $90.00 puts for 7.00 a contract.  We are flat on this, but again that is ok.  Now remember, this strategy should only be used on stocks that you want to buy.  If I get stuck with ULTA stock, I do not mind.  It is a very profitable and popular cosmetic store chain.  I wouldn't mind just pocketing 700 bucks a contract every month either.

 

We did the same with some October WFC 34 dollar puts.  We recently sold some at $1.44.  And we did the same recently with some October $36 WAG puts.

 

NOTICE, Options are not for everyone, but in this sideway slowly improving market selling put options maybe a strategy you should look into.  After spending a small fortune on learning options and loosing a lot of money actually trading options, this strategy seems to make the most sense to me.  If market volatility is down (The VIX is below 20) then selling puts a month or two out, seem to be relatively safe bets.  When the market changes and the VIX creeps up above 20, selling call options are a better bet.  If you want to know more, drop me a note at brianpaulcronin@gmail.com.   

 

 

 

Salve Lucrum

 

 

 

 

 

 

 

 

 

 

 

 

Brian Ireland
 
 
Since 7/26/2012
BAGAKOAA;

I am not a professional investment advisor. Anybody reading my blog and investing accordingly must be out of their minds. I have made more money than I have lost. There are many more qualified people than I to actually tell you how to invest your money.

BAGAKOAA=Boys And Girls And Kids Of All Ages

Salve Lucrum=Latin for Hurrah for Profit.

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