December Idea(s) of the Month
by Travis Johnson, Stock Gumshoe | December 14, 2012 9:26 pm
My favorite big bargain, and a bulwark against volatility.
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Source URL: https://www.stockgumshoe.com/2012/12/december-ideas-of-the-month/
AAPL is looking to me like it is getting ready to form a nasty head and shoulders formation. It may have one more run up before completing the formation but I am not a buyer of more shares until it drops under $450 per share. Writing calls on SAND is a great strategy Travis, thanks for sharing this information! I have been writing covered calls and selling puts on these type of companies all year, it has worked out very well. I see I am not the only feeling bearish out there. Thanks for the great write up.
Did I buy the wrong Sprott? The symbol I have is SILU.
I own both Sprott Resource Corp (which is the one I mentioned above) and Sprott Resource Lending, which is SILU, so I wouldn’t say either is “wrong” but it’s Sprott Resource Corp that just changed their policy to become a dividend payer and buy back more stock, which is supporting the shares at the moment.
SILU has always been a dividend-focused stock, though they’re a a lender in the natural resources sector rather than an equity investor (for the most part) so they should be a bit more stable and conservative.
FYI, I still own Apple and consider it to be a core holding, with the selloff overdone, but it’s always important to take the other side of the argument seriously. I think the best bear arguments and best research on the bear side for Apple have come from Doug Kass, you can read some of his recent comments on Apple here: http://www.thestreet.com/story/11834310/1/kass-getting-to-the-core-of-apple.html