Add WB Puts

Another Financial Fall?

By Bryan Bottarelli
Monday, August 25, 2008 12:08 PM EDT
Mon, 25 Aug 2008 16:08:00 GMT

PLAY: Buy the WB September 15 Puts (WB UC) at or under $2.20, good for the day. Place a protective stop limit at $1.20 and a pre-determined sniper sell at $3.00.

Dear Bottarelli Research Member,

In the blink of an eye, the Dow has dropped 200 points. This downside move has completely wiped out Friday’s 196-point gain — setting a very bearish tone to kick off the week. See for yourself below:

INDU

Now that the Blue Chips are back underneath their 50-day moving average, the bears appear to be back in control of the markets. As a result, it’s once again time to play puts on Wachovia (WB — NYSE).

WB

As you can see from the WB chart, there is literally nothing stopping WB from free-falling back down under $10.00 per share. Therefore, let’s play any coming weakness using September puts now!

PLAY: Buy the WB September 15 Puts (WB UC) at or under $2.20, good for the day. Place a protective stop limit at $1.20 and a pre-determined sniper sell at $3.00.

Lock and load!

Sincerely,

Bryan Bottarelli

Bryan Bottarelli
Editor, Bottarelli Research

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