Dear fellow options traders :
My blog has grown quite substantially since I started blogging my options trades & experiences about 2 years ago. With too many blog postings, I understand that it's a bit difficult for bloggers to navigate my blog properly at times.
Thus, I've spent about 2 days revamping my blog with a new blog template which allows me to display the label tags.
I've tagged my blog in such a way that you can now zoom into specific trades (whether its a earnings gapping trade or momentum trade) based on specific stock ticker symbol. I hope you'll find the fundamentals / technical research that I've logged for initiating my option trades useful in guiding your own trading strategy.
Q3 earnings season has kick-started and big caps tech companies like YHOO, EBAY, GOOG would be reporting next week. Other companies worth keeping note include ISRG, SNDK, HWAY, CAT. These stocks have good price gapping history after earnings.
Have a Profitable Trading Week Ahead !!
Yours Truly,
Tony Chai
Options Trading Resources
Disclaimer : The stocks mentioned above are for your reference only. Do exercise due diligence in your stock research and trading decision. Thank You.
Saturday, October 13, 2007
Past Options Trades Arranged in Ticker Symbol Order
Posted by
Tony Chai
at
6:26 PM
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Labels: options trading
Monday, October 08, 2007
Breakfast at McDonald's
Dear Friends :
A few days ago, my former colleague forwarded an email with a wonderful story in it.
Here to share it with you :)
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I am a mother of three (ages 14, 12, 3) and have recently completed my college degree.
The last class I had to take was Sociology.
The teacher was absolutely inspiring with the qualities that I wish every human being had been graced with.
Her last project of the term was called "Smile."
The class was asked to go out and smile at three people and document their reactions.
I am a very friendly person and always smile at everyone and say hello anyway, so, I thought this would be a piece of cake, literally.
Soon after we were assigned the project, my husband, youngest son, and I went out to McDonald's one crisp March morning.
It was just our way of sharing special playtime with our son.
We were standing in line, waiting to be served, when all of a sudden everyone around us began to back away, and then even my husband did.
I did not move an inch... an overwhelming feeling of panic welled up inside of me as I turned to see why they had moved.
As I turned around I smelled a horrible "dirty body" smell, and there standing behind me were two poor homeless men.
As I looked down at the short gentleman, close to me, he was "smiling".
His beautiful sky blue eyes were full of God's Light as he searched for acceptance.
He said, "Good Day" as he counted the few coins he had been clutching.
The second man fumbled with his hands as he stood behind his friend. I realized the second man was mentally challenged and the blue-eyed gentleman was his salvation.
I held my tears as I stood there with them.
The young lady at the counter asked him what they wanted.
He said, "Coffee is all Miss" because that was all they could afford. (If they wanted to sit in the restaurant and warm up, they had to buy something. He just wanted to be warm).
Then I really felt it - the compulsion was so great I almost reached out and embraced the little man with the blue eyes.
That is when I noticed all eyes in the restaurant were set on me, judging my every action.
I smiled and asked the young lady behind the counter to give me two more breakfast meals on a separate tray.
I then walked around the corner to the table that the men had chosen as a resting spot. I put the tray on the table and laid my hand on the blue-eyed gentleman's cold hand.
He looked up at me, with tears in his eyes, and said, "Thank You."
I leaned over, began to pat his hand and said, "I did not do this for you. God is here working through me to give you hope."
I started to cry as I walked away to join my husband and son. When I sat down my husband smiled at me and said, "That is why God gave you to me, Honey, to give me hope."
We held hands for a moment and at that time, we knew that only because of the Grace that we had been given were we able to give.
We are not church goers, but we are believers.
That day showed me the pure Light of God's sweet love.
I returned to college, on the last evening of class, with this story in hand.
I turned in "my project" and the instructor read it.
Then she looked up at me and said, "Can I share this?"
I slowly nodded as she got the attention of the class.
She began to read and that is when I knew that we as human beings and being part of God share this need to heal people and to be healed.
In my own way I had touched the people at McDonald's, my husband, son, instructor, and every soul that shared the classroom on the last night I spent as a college student.
I graduated with one of the biggest lessons I would ever learn: UNCONDITIONAL ACCEPTANCE.
Much love and compassion is sent to each and every person who may read this and learn how to ...
LOVE PEOPLE AND USE THINGS - NOT LOVE THINGS AND USE PEOPLE
If you think this story has touched you in any way, please send to others.
There is an Angel sent to watch over you.
In order for her to work, you must pass this on to the people you want watched over.
An Angel wrote:
Many people will walk in and out of your life, but only true friends will leave footprints in your heart.
To handle yourself, use your head.
To handle others, use your heart.
God Gives every bird it's food, but He does not throw it into its nest.
Keep this going.
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Yours Truly,
Tony Chai
Posted by
Tony Chai
at
9:16 AM
1 comments
Saturday, October 06, 2007
A Trade on Research in Motion (RIMM)
Dear fellow options traders :
If you have been trading options for earnings gapping announcement for a while, you would have known that Research in Motion (RIMM) would be reporting earnings on 4 Oct 2007 after-market-close.
Research in Motion (RIMM), maker of the BlackBerry Pearl and Curve Smartphones, gapped up almost 30 points back in 29 June 2007 when the company reported a mind-bowing Q1 earnings quarter with upside guidance topped with a 3 for 1 stock splits announcement.
RIMM made an impressive move of almost +$20.00 to touch $100.00 on 4 Oct 2007 since its post stocks-split day on 20 Aug 2007. Obviously, expectations have been running high towards another knockout Q2 quarter & upside guidance from RIMM and this is reflected in their expensive stock options, stuffed with rich, creamy fillings of high implied volatility.
I expected RIMM's stock price to run up higher towards the eve of earnings based on the past 2 months of research analysts' upgrades. Thus I paper traded a Oct 100 Call at $565.00 a contract on 3 Oct 2007 when RIMM was trading around $96.30. On 4 Oct 2007, eve of earnings announcement, RIMM went up intra-day around +$4.00 to touch $100.00. Since the position I bought had already earned $175 (excluding commissions) by 3.55pm EST, I decided to close the position without carrying the trade till earnings announcement.
My decisions for letting go of the position with a profit before earnings announcement were :-
1) Although there were a couple of research analysts' upgrades during the past 2 months, there were 2 research analysts' downgrades on 1 & 2 Oct 2007 respectively.
2) I noticed the piling up of the near ITM & OTM put options volume in comparison of the call option volume in the last trading hour and was a little concerned that the stock might not gap up after earnings. 
On 4 Oct 2007, Research in Motion (RIMM) reported in-line Q2 (Aug) earnings of $0.50 per share and revenues rose 26.8% year/year to $1.37 bln vs the $1.36 bln consensus. But the Co. issued upside guidance for Q3, expecting EPS of $0.59-0.63 vs. $0.55 consensus and Q3 revenues of $1.60-1.67 bln vs. $1.52 bln consensus. Subscriber account additions in Q3 are also expected to be approximately 1.65 million.
Alas, on 5 Oct 2007, RIMM gapped up +$7.70 to $107.60. The Oct 100 Call closed at $13.95 on 5 Oct 2007, rising a total of about +$5.80 intra-day.
Yours Truly,
Tony Chai
Options Trading Resources
Posted by
Tony Chai
at
3:11 AM
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Labels: earnings gapping analysis, gapping trading, RIMM
Thursday, September 27, 2007
A Trade on Resources Connection Inc (RECN)
Dear fellow options traders :
Resources Connection Inc (RECN) is a company which provides outsourced professional services to corporate clients in the United States.
I checked that it would be reporting earnings on 25 Sep 2007 after market close.
There were not much news at Briefing.com for my fundamentals research on RECN but at the Yahoo Finance web-site I saw a report dated 4 Sep 2007 Market Spotlight: Staffing Companies where research analysts were forecasting tougher times for staffing companies. They felt that the slowing economy might significantly depress job creation in coming months due to tighter credit and problems in the housing sector.
Some of the staffing companies that have seen their share prices tumble recently include Robert Half International Inc., which had declined around 13 percent in the past three months. Shares of Kelly Services Inc. had lost around 19 percent, while Korn Ferry International, which reported fiscal first-quarter results recently, had also shed nearly 22 percent.
In another report from The Motley Fool, even a Motley Fool CAPS All-Stars Player frown upon this 5-Star Stocks Leader.
Based on the weakening of the staffing companies sector, I paper traded 2 contracts of Oct 30 Put @ $185.00 each on 25 Sep 2007 when RECN was trading around $29.30.
On 25 Sep 2007 after market closed, RECN reported Q1 (Aug) earnings of $0.23 per share, including stock based compensation expense and tax benefits, which might not be comparable to the Reuters Estimates consensus of $0.28; revenues rose 17.6% year/year to $194.1 mln vs the $197.4 mln consensus.
On 26 Sep 2007 before market opened, there were 5 downgrades of this stock from analyst and RECN gapped down -$5.50 to $23.83 when trading began. I observed the price, volume, and Level 2 data carefully before I close the position for $760.00 per contract, netting a profit of $1,120 after deducting commissions. 

Related Trade in my Stock Options Trading Blog
A Resource Connection Q3 2007 Earnings
If you've managed to find out about the Live Freely! Seminar from my stock options trading blog and subsequently sign up for it, I hope you could do me a kind favour and mention Mr Tony Chai from Batch 14 as the referrer. Thank you for your kindness.
Wishing you Profitable in your Options Trading too.
Yours Sincerely,
Tony Chai
Options Trading Resources
Posted by
Tony Chai
at
9:02 AM
2
comments
Labels: earnings gapping analysis, gapping trading, live freely seminar, RECN
Friday, September 21, 2007
High Search Engines' Ranking for Your Blog/Web-Site
Hi friends :
Really appreciate Mr Edmund Ng, CEO of Internet-Empire.com, for showcasing my options trading blog to demonstrate that the application of good white-hat SEO (search optimization) techniques can enable my blog to achieve high ranking in search engines like Google & MSN.
Edmund was kind enough to give a complimentary 3 full-days internet marketing workshop to a group of physically challenged members (including myself) at the Handicaps Welfare Association back in Feb 2007. He taught us the step-by-step techniques on how to go about setting up an online internet business from scratch and went on to show us all the SEO skills to optimize & how to drive traffic to our web-site. We were also very grateful to Edmund for giving us the 29 Steps Internet Marketing videos for free.
For a preview of his next Internet Marketing Seminar, you can go to this Link. If you want to find out more details about the 29 Step-by-Step Internet Marketing Videos DVD, you can Click Here.
In my opinion, the Internet Marketing Seminar conducted by Mr Edmund Ng and the Internet Marketing Videos DVD are both affordable, practical and useful. If you want to achieve higher search engines' ranking for your blog/web-site with good, no non-sense white-hat SEO techniques, I highly recommend that you check out Edmund's internet marketing seminar and DVD.
Yours Truly,
Tony Chai
P. S. The Internet Marketing Seminar & the 29 Step-by-Step Internet Marketing Videos DVD comes with a 1,000% money-back guarantee. That's how confident Mr Edmund Ng felt that Your internet business would be positively impacted by his white-hat SEO techniques. Edmund is also providing 6 months post support if you signed up for the seminar or buy the DVD.
Posted by
Tony Chai
at
3:26 AM
7
comments
Labels: Edmund Ng, Internet Empire, SEO
