Alex the professional trader: 21-10-07 : BSC trade (18-10-07 buy,19-10-07 sold)

BSC Buy
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1st contract was bought too earlier, before the
retouching of 120 happens. The black cdl that drops
below 118 gives the impression that its not going up
to 120 anymore. It may just hit the previous resistance
at 118 (the day before), and down again.

Thus 1st contract was bought there at $7.20. Way too expensive.
The plan was to buy another put cheaper when it actually goes
up to 120 and down again.

That happened at 11.30pm when the touching of 120 has
occurred, and fall down again. At around
119 area, another contract was
bought at 6.00 to average the option price to 6.10 for
2 contracts.

Then I went to sleep. What foolows is that price actually
went beyond 121. The option must have reduced a lot in price,
but i was sound asleep. Thus saved myself of pain and
agony.

the next day opens high, but eventually drops below 118
and at 116.50 area, both contracts was sold at 7.10. Thus
$2 gain from this trade.

Reason for this trade : Break below 120 support in daily chart
seen as temporary weakness to go lower towards 110.

Reason for exit : MA50 may still be a good support around
116 area, thus exit early ensures profit locked in.

Shortfall : May not capture the downfall all the way to 110
or even 100.

Thus a separate contract was entered as next put trade towards
110. Its viewed as a separate trade on its own. But that is another story by itself.

The Entry pt
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(1) Daily chart (Put contract # 1)
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