Move on DRYS

Speculators, Add October Calls

By Bryan Bottarelli
Monday, October 08, 2007 1:24 PM EDT
Mon, 8 Oct 2007 17:24:00 GMT

Dear Bottarelli Research Member,

For all of you speculators out there, it’s once again time to play DryShips (DRYS – NASDAQ).No matter if the markets are up or down, it seems like DRYS continues to blast to new highs on a daily basis — thanks in part to the Baltic Dry Index (which tracks rates on 40 routes for vessels carrying cargoes such as coal, iron ore and grain) surging 130 points to a new all time closing high at 9,565.

DRYS

With the spot day rate for a medium-sized vessels now toping $78,000, this sector does not appear to be slowing down anytime soon, so let’s make a quick October call play to capitalize on this DRYS upside momentum. If you’re the type of trader that likes fast movers, then here’s the play:

PLAY: Buy the DRYS October 105 Calls (DQR JA) at or under $4.40, good for the day. Current bid/ask spread is $3.90 to $4.20. Place a protective stop limit at $2.10.

Lock and load!

Sincerely,

Bryan Bottarelli
Editor, Bottarelli Research
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