SPDR S&P 500 (SPY)

[Neutral Man]

FebOE Play-Book (more like DUP da-Boyz Book), for star-date 04-02-2008!?

Obviously we'll take advantage of ANY GAP Up and Buy to Close Feb48 puts and for Two reasons, One, The R1, 45.92, sits directly overhead and will repel any attempt to violate, second, to Take Profits, what else, dats what we do Take lotto profits, LOL!

Order to Buy to Close Feb48 puts at 2.35 (DOUBLE), a .71 gain that'll post as 1.42 if exercised, COOL and good start to the week!

C'mon BOYZ, give us a Good start to da-Week, what say you say Eye, LOL!?

Now, this will leave us in a SERIOUS Net Short position (controlling 12k short and only 4k long or a 3:1 short ratio), and if the 4cast is correct and we find a way back down to the Sub 45.00 marker, we'll RE-Load said Feb48 puts short and get us back into a moderately net short position!

Short positions (expecting the Q's to go Down), controlling 12k shares
Feb42 puts at 0.565, (QUAD), bought long
Feb47 puts at 2.685, (QUAD), bought long
Feb44 calls at 1.545, (QUAD), sold short

Long positions (expecting the Q's to go Up), controlling 6k shares
Feb45 calls at 2.03, (QUAD), bought long
Feb48 puts at 3.06, (DOUBLE), sold short

Date Open High Low Close
1-Feb 45.52 45.88 44.88 45.59
4cast
4-Feb 45.68 45.95 44.67 44.96
5-Feb 44.94 45.27 44.49 45.16

We expected a GAP down this morning and the Up action has reconfigured the 4cast indicating a range between 44.50 and 46.00 for the first couple days? The FUN will come into play at the Close on Wednesday as CSCO reports after da-Bell and the Techno-Stocks have been getting dare Asskies kicked, OUCH!?

Good trades ALL,
nm