Wednesday, April 15, 2009

Coal Sector $DJUSCL

With BTU earnings out, the whole coal sector is down. I think this is a good indicator of the next earnings release coming from CNX on April 23. After CNX's earnings, I think the coal sector will have been driven down to good levels to sell some naked puts. I don't think it will matter much what the other coal companies report after CNX's report next week. The coal sector typically rises into the summer each year, so I think selling OTM puts after CNX earnings will be a great move.

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