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Wednesday, April 24, 2024

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  1. phil

    Cushing/Wombat – I still expect a sell-off next week as volume is low today and they still have a lot of barrels to dump (and a 10Mb build last week!) but once we hit May, rationality is out the window as everyone begins to predict all kinds of demand increases so we may have to take the summer off from oil trading. 

    Jobs/Scott – If we begin to get demand for decent-paying jobs, a lot of these companies that have benefitted from "trapped" employees are going to get a big wake-up call.  Especially with Obamacare breaking the traditional barrier people had to leaving jobs.  Now that health care isn't an issue, people can actually shop their skills to the highest bidder in a free market – imagine that!  

    Good job practicing Akad.  

    Losing the House/Shadow – Not a surprise if you saw the way people are working their asses off to make it happen on this coast!  

    DIS/Wombat – I assume you mean the Butterfly Portfolio?  We had the short April $77.50 calls, now $2.55 and the short $80 puts, now 0.15 but they'll net out to $2.50 at the close, of course.  We sold them for $5.27, so a very nice win but earnings are coming so we're widening the spread and selling the May $77.50 puts for $1.15 and the May $80 calls for $2.10 this time.  

    Also in the Butterfly Portfolio, we sold BTU Apr $16 calls for .70 and they are now .90 and we're rolling those to the May $16 calls at $1.25. 

    Strangles/Peter – Excellent work! 



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