Entry Alert - DIA and Mini-sized DOW

By: Patrice Johnson | Sun, Oct 12, 2008
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10/12/2008 12:11:27 PM

Greetings, J.E.D.I.

Welcome to The J.E.D.I. Way.

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LONG TERM TREND SIGNAL: DOWN

INTERMEDIATE TERM TREND SIGNAL: DOWN

For Monday, October 13, 2008, The J.E.D.I. Way will re-attempt the following transactions:

(1) Buy to open one (1) December 2008 Mini-Sized Dow 13000 Call Option (Ticker Symbol: YMZ81300c) at a limit price of $2.00, Good For The Day.

(2) Buy to open 10 shares of DIA (Dow Diamonds ETF) at a limit price of $80.00, Good for the Day.

Last Price for the Mini-Sized Dow December 2008 Futures: $8370.00
Last Price of the December 2008 MiniSized Dow 13,000 Call Option: $1.00
Last Price for ticker symbol "DIA": $83.75

Total Cost

$810.00

Initial Requirement

$0

Maintenance Requirement

$0

Total Requirements

$0

Estimated Commission

$49.32

Expiration Date of Mini-Sized Dow Options Contract: December 19, 2008

Contract Specifications:YM,CBOT

Trading Unit:   ($5.00) times the Dow Jones Industrial AverageSM Index.
Tick Size:   One point ($5.00 per contract)
Quoted Units:   DJIA index points
Initial Margin for Futures:   $3,503 Maint Margin for Futures: $2,802
Contract Months:   Mar, Jun, Sep, Dec
First Notice Day:   Not applicable (cash settled contract)
Last Trading Day:   The trading day preceding the third Friday of the contract month.
Trading Hours:   5:00 p.m. to 4:30 p.m. Central Time, Sunday - Friday.
Trading in expiring contracts ceases at 3:15 p.m.
Central Time on the last trading day
Daily Limit:   Successive 10%, 20%, and 30% limits.

Breakeven Point:

The breakeven point for buying one December 2008 Mini-Sized Dow Call ption (Ticker Symbol: YMZ813000c) at $2.00 (with commissions of $29.32) and buying 10 shares of DIA at $80.00 (with commissions of $20.02) is $8.00 and $82.00 respectively.

My fellow J.E.D.I.,

Please see weekly chart for the December 2008 Mini-Sized Dow and DIA dated 10/10/2008 below.

WEEKLY CHART (DECEMBER 2008 MINI-SIZED DOW)

WEEKLY CHART (Ticker Symbol: DIA)

Thus For Monday, October 13, 2008, The J.E.D.I. Way will re-attempt the following transactions:

(1) Buy to open one (1) December 2008 Mini-Sized Dow 13000 Call Option (Ticker Symbol: YMZ81300c) at a limit price of $2.00, Good For The Day.

(2) Buy to open 10 shares of DIA (Dow Diamonds ETF) at a limit price of $80.00, Good for the Day.

Good Luck!

And may the force of volatility will be with you.

Best Regards,

 


 

Patrice Johnson

Author: Patrice Johnson

Patrice V. Johnson
The J.E.D.I Way

Patrice V. Johnson

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