Dear Reader ,

Going to recommend selling some of our puts today, I personally sold the above and I think you should do the same.

I am keeping Ford puts cause I do not see their earnings as being supportive later in the week (the Ford stock price just went up due to the position Ford had in RIVN which they basically have no profits on now) .

Pre RIVN IPO ford was about 13 dollars a share. The sales I did above raised me about 14-15k my total position in puts is about 60k and my book value is 27k so i am taking back half of what I put in.

I am also keeping the MCO and ARKK puts cause they are December and Januaries and we have time.

The VIX is 35 so we are seeing fear. But we are at the long term support lines for all the averages. If the dow breaks 33k it has really not much support till 27k or so. Also about half that 27k I have in puts was profits in BUZZ and ARKK i rolled over so really I am playing with about 15k or so from the money I put in last year.

So I basically have taken that off the table. I am going to start to do straddles on earnings. With volatilty here we are going to see some short covering rallies and some more stocks blow up (like NFLX and Pelaton did) on earnings. So think there will be opportunities in Straddles. 

This is the biggest bubble ever the market went to 220 percent of GDP at the top. We had so many factors, inflated unemployment benefits leading to MORONS entering the market , the Fed keeping rates at zero and printing trillions, MEME stocks, NFTs, Metaverse, Super cheap money leading to dislocations in real estate.

This is like a combination of the Tulip Mania, 1929, Nikkei in 1989, Tech Stocks in 2000 and the housing all at once . 

Now with the market oversold we def can see a hard bounce into the fed meeting or on the fed meeting but I do think they will continue their plan to raise rates, which should continue to crush the market in the coming weeks and months.

David Skarica