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DECEMBER INITIAL RECOMMENDATIONS

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DECEMBER Monthly Cash Machine recommendations

We are recommending spreads on the following companies listed below:


NTES - Netease.com, Inc.,
through its subsidiaries and affiliates, operates an interactive online and wireless Community in China.It provides Chinese language content and services, including content, community and communication, and commerce, through its online games, wireless services, and Internet portal. The company's Web sites consolidate and distribute content through 21 channels, including channels focusing on news, entertainment, sports, finance, information technology, automobiles, astrology, and cartoons, as well as regional sites in
Guangdong and Shanghai.

GM - General Motors Corporation
engages in the design, manufacture, and marketing of cars and light trucks
worldwide. It operates through Automotive, and Financing and Insurance Operations (FIO) segments. The Automotive segment designs, manufactures, and markets passenger cars, trucks, and locomotives, as well as related parts and accessories. The company offers its vehicles primarily under the brands Chevrolet, Pontiac, GMC, Oldsmobile, Buick, Cadillac, Saturn, and HUMMER.

GENZ - Genzyme Corporation
operates as a biotechnology company. Its products and services focuses on rare
genetic disorders, renal disease, kidney disease, cancer, orthopaedics, organ transplant, and diagnostic and predictive testing. The company operates in five segments: Renal, Therapeutics, Transplant, Biosurgery, and Diagnostics/Genetics. The Renal unit develops, manufactures, and distributes products that treat patients suffering from renal diseases, including chronic renal failure.

EBAY - eBay, Inc.,
through its subsidiaries, develops an Internet-based marketplace for the sale of goods and services by individuals and small businesses. The company offers an online platform through which buyers and sellers browse, buy, and sell various items, including trading cards, antiques, dolls, and housewares, as well as used cars, clothing, books and compact disks, and electronics.

CELG - Celgene Corporation
engages in the discovery, development, and commercialization of therapies designed to
treat cancer and immunological diseases through regulation of cellular, genomic, and proteomic targets. Its lead product, THALOMID, is used for the treatment of acute cutaneous manifestations of moderate to severe erythema nodosum leprosum, and as maintenance therapy to prevent and suppress cutaneous manifestation recurrences.

AAPL - Apple Computer, Inc.
engages in the design, manufacture, and marketing of personal computers and related software, services, peripherals, and networking solutions worldwide. It also designs, develops, and markets a line of portable digital music players along with related accessories and services, including the online distribution of third-party music and audio books

MSTR - MicroStrategy Incorporated
provides business intelligence software that enables companies to analyze the
raw data stored across their enterprise to identify the trends and insights. The company offers an integrated business intelligence platform known as MicroStrategy 8, which enables organizations to consolidate business intelligence applications onto a single platform for reporting, analysis, and delivery applications.


The following are the initial recommendations for the December expiration.

Call Credit Spreads


NTES $62.30

BUY NQG-LO NTES Dec $75.00 CALL DEBIT = $0.60
SELL NQG-LN NTES Dec $70.00 CALL CREDIT= $1.10
NET CREDIT = $0.50
INITIAL "NET- CREDIT TARGET= $0.50 or $50.00
POTENTIAL PROFIT (x 10 CONTRACTS @ $0.50 = $500.00
MARGIN REQUIRE. (x 10 CONTRACTS $4,500.00
RETURN ON INVESTMENT= 11.11%
EXIT STRATEGY = NET DEBIT STOP = $1.50


GM $24.48

BUY GM-LZ GM Dec $32.50 CALL DEBIT = $0.15
SELL GM-LY GM Dec $27.50 CALL CREDIT= $0.65
NET CREDIT = $0.50

INITIAL "NET- CREDIT TARGET= $0.50 or $50.00
POTENTIAL PROFIT (x 10 CONTRACTS @ $0.50 = $500.00
MARGIN REQUIRE. (x 10 CONTRACTS $4,500.00
RETURN ON INVESTMENT= 11.11%
EXIT STRATEGY = NET DEBIT STOP = $1.50

Put Credit Spreads


GENZ 76.45

SELL GZQ-XN GENZ DEC $70.00 PUT CREDIT= $0.70
BUY GZQ-XM GENZ DEC $65.00 PUT DEBIT $0.35
NET CREDIT = $0.35

INITIAL "NET- CREDIT TARGET= $0.35 or $35.00
POTENTIAL PROFIT (x 10 CONTRACTS @ $0.35 = $350.00
MARGIN REQUIRE. (x 10 CONTRACTS $5,350.00
RETURN ON INVESTMENT= 6.54%
EXIT STRATEGY = NET DEBIT STOP = $1.05


EBAY $43.89

SELL XBA-XH EBAY DEC $40.00 PUT CREDIT= $0.40
BUY XBA-XU EBAY DEC $37.50 PUT DEBIT $0.20
NET CREDIT = $0.20

INITIAL "NET- CREDIT TARGET= $0.20 or $20.00
POTENTIAL PROFIT (x 10 CONTRACTS @ $0.20 = $200.00
MARGIN REQUIRE. (x 10 CONTRACTS $2,700.00
RETURN ON INVESTMENT= 7.41%
EXIT STRATEGY = NET DEBIT STOP = $0.60



CELG 58.90

SELL LQH-XJ CELG DEC $50.00 PUT CREDIT= $0.70
BUY LQH-XI CELG DEC $45.00 PUT DEBIT $0.30
NET CREDIT = $0.40

INITIAL "NET- CREDIT TARGET= $0.40 or $40.00
POTENTIAL PROFIT (x 10 CONTRACTS @ $0.40 = $400.00
MARGIN REQUIRE. (x 10 CONTRACTS $5,400.00
RETURN ON INVESTMENT= 7.41%
EXIT STRATEGY = NET DEBIT STOP = $1.20


AAPL 61.54

SELL QAA-XK AAPL DEC $55.00 PUT CREDIT= $0.65
BUY QAA-XJ AAPL DEC $50.00 PUT DEBIT $0.20
NET CREDIT = $0.45

INITIAL "NET- CREDIT TARGET= $0.45 or $45.00
POTENTIAL PROFIT (x 10 CONTRACTS @ $0.45 = $450.00
MARGIN REQUIRE. (x 10 CONTRACTS $5,450.00
RETURN ON INVESTMENT= 8.26%
EXIT STRATEGY = NET DEBIT STOP = $1.35


MSTR 77.40

SELL EOU-XN MSTR DEC $70.00 PUT CREDIT= $1.15
BUY EOU-XM MSTR DEC $65.00 PUT DEBIT $0.65
NET CREDIT = $0.50

INITIAL "NET- CREDIT TARGET= $0.50 or $50.00
POTENTIAL PROFIT (x 10 CONTRACTS @ $0.50 = $500.00
MARGIN REQUIRE. (x 10 CONTRACTS $5,500.00
RETURN ON INVESTMENT= 9.09%
EXIT STRATEGY = NET DEBIT STOP = $1.50

We will be adding several other recommendations in a few days.

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