We are holding our half position in the DOW July 88 put (DAVSJ) option bought several weeks ago. We took half profits two weeks ago. Place a stop loss at DOW 8,600 for this remaining half position. Take remaining profits at 7,800 or hold until expiration on Friday.
For investors it has continually been recommended that some puts are held to protect one’s portfolio (portfolio insurance) against sharp market sell-offs. New and/or additional positions can be bought on the expected rally into August.
For those who have no put options to protect your portfolio we recommended the following options, especially on any rally: the DOW September 82 puts (davud) or the September 84 puts (davuf) and the QQQQ September 34 puts (qavuh) or September 33 puts (qavug).
For those of you who do not buy puts to protect your portfolio, there is an ETF that is the inverse of the DOW. The symbol is DOG and goes up when the DOW goes down and down when the DOW goes up.
This is for information purposes only.
This is NOT a recommendation or solicitation to buy or sell securities.
Tags: investing, market strategies, options, trading
