Mattu's Tax Loss Picks

[Bob Zumbrunnen]

I thought we had you weaned off of those penny stocks. You can get that same risk/reward rush playing options. But you have to be very careful and disciplined and be able to support your position based on fundamentals and technicals before playing them.

My PFE puts, for example, are based on my belief that the recent pop on its patent win was overdone plus there's nearly insurmountable resistance at $25, but relatively weak support at $24. When it's in the mid $24's, the Jan22.5 puts can be (for now -- they'll lose time premium soon) be bought for a dime and when it drops below $24, everyone and their yellow dog will buy them from you at 15 cents.