At a tie that I really want to be conserving cash, I find myself doing odd things.
Saturday night and then again on Sunday, I actually thought about buying options.
In this case, that alone was pretty odd.
What wasn’t odd was that the thought was to buy S&P 500 puts.
They were really pretty inexpensive, reflecting the continuing belief that volatility was extinct and that the market was expecting to go higher and higher.
Well, long story short, I didn’t buy those options.
But I did spend money, even though that’s not so rare.
What was rare is that this morning, before the opening bell, I bought some shares of Under Armour, after it plunged on earnings and the news that its CFO was leaving.
What made that exceptionally rare was that by making that purchase before the opening bell, there was no opportunity to sell calls at the same time.
So that shares sat there naked.
And to make things even ore implausible, I didn’t rush to sell calls as soon as the market opened.
What was I thinking?
On the one hand I was thinking that the selling was way over-done, although the sudden departure of a CFO for “personal reasons” is never good, especially when earnings really missed the mark.
OK, that was rare, but yesterday, purchasing Pfizer right before earnings this morning, in an attempt to capture tomorrow’s dividend was also something that I don’t do that often.
But I’m feeling charmed in 2017, even as the market is starting to feel challenged.
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