*****UPDATE*****7/12/2012 6:24PM

MAN, NO ONE SAW THAT SHORT SQUEEZE REVERSAL COMING TODAY! IF YOU DID SEE IT, AND PROSPERED KUDOS TO YOU! WE BOUGHT AUG EXPIRIES IN CASE THIS KIND OF SHENANIGANS HAPPENED. THIS TYPE OF REVERSAL HAPPENED TO US EARLY IN OUR FSLR PLAY IN THE OPEN TRADES SECTION OR HERE.  https://3ddhedgeinvestments.wordpress.com/2012/06/28/new-trade-alert-fslr-jul21-14-12-debit-put-spread-limit-57/ FSLR RAN UP ALL THE WAY TO CLOSE TO 16 AFTER ENTERING OUR TRADE. IT IS NOW ALL THE WAY BACK DOWN 14, AND NOT FAR AWAY FROM PROFITING ON IT.

THEREFORE, AS IN FSLR TRADE WE BOUGHT FAR ENOUGH OUT SO THAT WE COULD WAIT PCYC BACK DOWN, IF NEEDED.

WE ARE STILL CONFIDENT IN PCYC’S DEMISE HERE. THE STOCK IS EXTREMELY OVEREXTENDED, AND MAY HAVE FORMED A RIGHT SHOULDER TODAY AS WELL. WHEN THAT HAPPENS THE NEXT MAJOR MOVE IS FURTHER DOWN. IF PCYC MOVES FURTHER UP, WE MAY ISSUE A AVERAGE DOWN ORDER, OR NEW POSITION ALTOGETHER, WHILE STILL NOT OVER ALLOCATING. MAX ALLOCATION HERE WILL REACH 20% TOTAL EXPOSURE TO PCYC AT MOST. RIGHT NOW WE ARE EXPOSED ONLY 15%.

HERE IS AN ARTICLE FROM SEEKING ALPHA THAT WAS JUST PUBLISHED AFTER THE CLOSE, GIVING FURTHER CREDENCE TO OUR THESIS.

http://seekingalpha.com/article/716131-thursday-s-technical-read-on-6-biotech-favorites?source=yahoo

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BIOTECH WAS HOT IN JUNE BUT HAS LOST ITS FLAIR. EARNINGS WILL BE SOON ON THIS BABY AS WELL. SHE IS GONNA NOSEDIVE!

15% ALLOCATED TO THIS TRADE, I AM CONFIDENT IN THIS TRADE AND THATS THE ONLY REASON PUTTING THAT MUCH IN IT.

THIS ORDER HAS ALSO ALREADY EXECUTED IN HEDGE ACCOUNT.

Order Details

Leg Action Contracts Option Description Price Duration
Leg 1 Buy to Open 15 PCYC Put PCYC Aug 18 2012 50.00 Put Debit 1.70 Day Order
Leg 2 Sell to Open 15 PCYC Put PCYC Aug 18 2012 46.00 Put
Est. Trade Value: $2,550.00
Est. Commission: $13.45
Estimated Fee: $0.85
Funds required for this trade: $2,564.30
Quote PCYC   50.42   -2.45 Bid 50.39 Ask 50.52 Volume 658,479
PCYC AUG 18 2012 50.00 PUT
PCYC AUG 18 2012 46.00 PUT
Bid 4.20 2.45
Ask 4.60 2.85
Last 4.50 2.43
Change 0.60 [15.38%] N/A [N/A]
Volume 4 0
Delta -0.44 -0.28
Open Int 499 161
Desc PCYC Aug 18 2012 50.00 Put PCYC Aug 18 2012 46.00 Put
Net Quote
Bid
1.35debit
Mid
1.75debit
Ask (natural)
2.15debit
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