Saturday, October 31, 2009


I was in BWA as a true short a bit early. I stopped out. But elected to re-enter via JAN30 puts.

There's quite a bit of volume under this price area. Accordingly, I think that a breach might present a cascade of selling. I don't believe that autos is the sector to be in. BWA was my single best short (via puts) in 2008. It was not a crowded trade then. It is a crowded trade now.

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