February 12, 2015  Trade Alert -  BABA Black Sheep  Portfolio

We should roll down our 100 calls to a lower strike:

 

 STC 1 BABA Jul-15 100 call (BABA150717C100) for $2.74

BTO 1 BABA Apr-15 87.5 call (BABA150417C87.5)
STO 1 BABA Feb-15 87.5 call (BABA150220C87.5) for a debit of $2.95  (buying a calendar)

BTO 1 BABA Jul-15 95 call (BABA150717C100)
STC 1 BABA Jul-15 100 call (BABA150717C100) for a debit of $1.25  (buying a vertical)  

STO 1 BABA Mar-15 95 call (BABA150320C95) for $.66

 

Be prepared to change these price limits by $.05 or more in order to get an execution.  .

 
Happy trading.

 

Terry