UAL(calls)We have an iron butterfly and either UAL will close above 45 or below.
Currently UAL is above 45 and the most likely course looks to have us close out the UAL March 45 tomorrow
as it looks to close above 45, however, if UAL takes a small downturn tomorrow you need to be prepared to close
out the 45 put and let the call expire. This will be one to watch tomorrow.
T (calls) - T is only a few cents in the money and had a big move today. Let's watch
this on during tomorrow's session and unless we can get a drop opening on T and close it out for a few cents, if
not let's wait it out and decide near the end of the session tomorrow. If T looks to close below 34 we need do nothing,
however, if T looks to close above 34 we will need to close it out before the end of market hours tomorrow.
Issues we will need to watch and may or may not have to act on in Portfolio #1:>
UAL(puts) - This is the other half of our iron butterfly. As discussed above UAL closes
above 45 or below. If above we close out the 45 call. If below, we close out the 45 put. If the stock is trading very close
to 45 with a few hours left, you might decide to close out both sides ( meaning the short 45 call and the short 45 put for a NET
DEBIT. I would hope not for more than $0.30 if it gets that late in the day and the stock is only pennies on
either side of 45.
CIEN(calls) -The CIEN 24 puts look to be safe, however that would be true if there
were no tomorrow, but there is. We need to watch CIEN. If CIEN looks to close above 24 we need do nothing, however
if it drops under 24 tomorrow , we need to be prepared to close it out before the close tomorrow. CIEN needs
watching for tomorrow.
Issues that should expire worthless tomorrow and should need no action in Portfolio #1, unless a â€œMurphyâ€™s Lawâ€ transpires where you might need to close out a position.
These positions below are all from 2.40 â€“ 5.00 points out of the money and should require no action and should expire worthless tomorrow.
MCM MARCH 2014 PORTFOLIO # 2:
Issues we will need to close out and act on in Portfolio #2:>
GILD(puts) Unless we get a $1.00 plus bounce tomorrow , we will have to close out the
short GILD March 75 , depending on the price the GILD March 72.50 is selling for we may close out both sides for
a NET debit, but only if the GILD March 72.50 nets us more than it would if we just let it expire. Watch and decide
based on the March 72.5's value. But remember unless we close above $75 we MUST close out the GILD March 85 call before
the close tomorrow.
LVS(puts) -The LVS March 82.50 is in the same position, however we should not have to deal
with the LVS March 80 put as with its current value, tomorrow it will not be worth it to sell. Just remember
unless LVS looks to close above $82.50 tomorrow we will have to close out the LVS 82.50 before the close, the same as
we will probably have to do with the GILD 75 put.
EMN(calls) We have an 85 call spread and an 85 put spread, so with EMN having to close
on one side of 85 or the other. We will close out the the 85 call or the 85 depending on which looks to close in the
money, as the other side would expire worthless. If you do not wish to wait the position out tomorrow you
can chose to close out BOTH the 85 call and the 85 put for a NET DEBIT, but I would only do so if you can close BOTH the
the EMN March 85 short put AND the EMN March 85 short call for no more than $0.40 or you can wait it out and see
how the day plays out.
Issues we will need to WATCH and may or may not have to act on in Portfolio #2:>
EMN(puts) -Since we have a call spread that is in the money on the list above, we
in essence have an iron butterfly, which means we will have to close out either the call side of this put side
depending on where EMN looks to close tomorrow.( if we open close to $85 you might want to close both sides out - meaning
the short March 85 call and 85 put, if the price is cheap enough, or you can wait it out and see which of the two sides
you will have to close near the close of the market tomorrow. Remember EMN can't close both over and under $85.
One side will have to be closed and the other will expire worthless if you decide to wait until sometime near the close.
These issues below should expire worthless tomorrow and should need no action in Portfolio #2, unless a â€œMurphyâ€™s Lawâ€ transpires where you might need to close out a position.
These positions below are all from 3 â€“ `17 points plus out of the money and should require no action and should expire worthless tomorrow.
MCM MARCH 2014 PORTFOLIO # 3:
Issues we will need to close out and act on in Portfolio #3:>
will have to close out the NUAN 16 call tomorrow with its likely close above $16,You may choose to close on the opening ( on a down open) or you may try and wait it out until sometime near the close and hope for a better close. You need do nothing with the NUAN March 18 call as it will have no value, unless the stock climbs over $2.00 tomorrow and that would take over a 10% move to the upside tomorrow.
Issues that should expire worthless tomorrow and should need no action in Portfolio #3, unless a â€œMurphyâ€™s Lawâ€ transpires where you might need to close out a position.
These positions below are all from $0.60 â€“ `$3.00 plus out of the money and should require no action and should expire worthless tomorrow.
If any issue should look to close in the money, be sure to close out that position before the close Of the market on Friday, if you do not and that option is even $0.01 in the money, you will either have stock called away that you do not have ( short a call position) or get assigned stock that you may not want (short put position).
The MCM April 2014 watch list and Portfolio will begin being posted after the close of the market on Friday right after the March options come off of the board on this expiration Friday.