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Disclaimer: The information provided in this trade alert is for educational and entertainment purposes only and should not be considered as financial advice. The author is not a financial advisor and is only sharing their personal trading activities in full transparency. The opinions expressed in this alert are the author's own and do not reflect the views of any other individual or organization. Investing in cryptocurrencies and other financial instruments involves a high degree of risk, and you should not invest money that you cannot afford to lose. Always do your own research and consult with a licensed financial advisor before making any investment decisions. The author is not responsible for any losses or damages resulting from the use of the information provided in this alert.

I have been out of it for a long time - but BABA flashed a buy on IADSS.  It was a toss up between BIDU and BABA but BIDU flashed no signal.  

Also BABA was bottoming nicely. I entered at $72.56.  I sold the $70 Puts and bought the $70 calls - net debit 6.85.  My breakeven is for BABA to be at 76.85 by Jan 2026.  The 200 DMA is $86. 

The real reason I went back into Chinese stocks after years is as follows:

1) Growth coming back

2) China Money Printer is in full swing



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Anonymous

When you buy the call and sell the puts for credit, you’re also required to still put down the collateral right?

Anonymous

James got intel... nailed it again. Data and technicals are king. $BABA up 9%. Both founders Jack and Joe have been buying BABA in the last months.

Anonymous

A brokerage will always require a bit of your buying power. How much they take depends on the type margin account you have. Reg T will require an initial 50% for stock purchase. I believe it's 20% for naked puts and calls on most tickers. There are some that are considered riskier so up to 100% of the buying power for that strike will be required. Then those margin requirements can change depending on market conditions. FINRA 4210 can add to initial margin requirements for some securities and it will also change your required margin as markets change. If you have portfolio margin it's a lot less. I mean A LOT less. But there are portfolio size requirements to meet if you want to apply for portfolio margin.