FRIDAY – US rallied 340 points following EU Debt deal, however, Australian market already rallied on the “DEAL” reached yesterday. So today, there might be celebration rally in the morning followed by profit-taking. Or not.
UPSIDE
1. volatility breakout – jump of 83 points yesterday could usher in more buyers
2. momentum is there
DOWNSIDE
– already had the rally on the Deal yesterday, could lead to profit taking
– details of the deal and analysis could follow on the next days leading to pullback
ACTION PLAN
– wait out what the market will do or pullback and buyback STOFY7
– Hedge on the upside risk with increased ratio
NOTE TO SELF : Calm down
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Lunchtime update:
I checked the market when it opened and saw that STO did touch 13.50 but went down steadily thereafter.
As of lunchtime, the share price is down by -25. So I’m cool with my Covered Call option – I’m all smiles of course and will just monitor this as usual. This stock tends to go down end of the week. So I’m keeping cool.
After all, it’s Friday. Enjoy your weekend!
