Trades like this only come along a few times in a lifetime. Options trading is a risky game but when these come along they pay for all the other investments that didn’t do well. Last year I had none of these and I lost money on the year. Today I had to sell my DNDN options because they hit a profit level that I had set and it was set at a fairy tale level. If you remember I had a large call position before Dendreon’s FDA meeting and made a great play there. I sold options I purchased two days before at .55 and sold around $6.5. The stock was at 16 at the time and pulled back to 13 and change. I then purchased more August options at that time. Now after today, I just had to sell. 42K is a good chunk of change and I probably will leave thousands and thousands of dollars on the table but I am not going to give that money back, it’s mine.
I am fortunate that I don’t rely on my trading account for personal expenses so my tradition continues of what to do with the money. Tax money pulled out (35%), 20% to college fund, 10% to something fun or tech, and the rest back into the account. Last week after the first DNDN rise I bought a 1966 White Chevy Bel Aire in perfect shape with 28K original miles. She’s a beauty. I am looking at a 1968 covertible camaro right now. Unfortunately the prices on those things have really jumped and I don’t have any more garage space. I have 5 cars now and it looks like my next investment might be a hangar over at the local airport or a new garage at the nursery.