Thursday, July 29, 2010

Doubling Down on DJSP

First trade:

Buy 10% DJSP @ $3.90.

Doubling down on this. I finally read their earnings report, and it convinced me that it's dirt cheap. Earnings were "disappointing" at $0.45/share. Maybe there's some non-public info that's crushing the stock, but everything in the open looks good. I also think their technology implementation could reap major gains in productivity for them. Finally, I am impressed with management's toughness in sticking to their guns and refusing to provide earnings guidance. This despite the stock price getting hammered.

Buy 0.5% position in NG Jan '12 10 Calls.

Gold looks like it has successfully tested the 200 day moving average. Almost all the gold stock options are showing yearly lows in implied volatility and the lowest prices in months. If gold rebounds, they are really cheap. This position is small. It's very aggressive, but extends out almost 18 months. The potential upside is huge.

0 Comments:

Post a Comment

<< Home