XTO

XTO - Closed my position today @ $2.96. I just didn't feel good about the trade.

BREAK EVEN.

See original post: CLICK HERE

XTO

I got filled on the AUG32 PUTS at $3.01. I didn't get filled on the calls yet because the stock has taken off.

EPA News Article from Yahoo! News

I think this news from the EPA could be bad for coal companies and good for natural gas companies in the longer term since NAT GAS is a cleaner energy source. This could also bode well for solar stocks such as ENER.

I don't think it will impact our coal trades now.

CLICK HERE to read the news story.

Yahoo! News

XTO

XTO Energy (XTO) - I always use XTO as a proxy for natural gas. Usually natural gas rises into the summertime. It is breaking out above the 50 period moving average.

I think a good strategy for this play is to sell the AUG32 PUTS and buy the AUG35 CALLS. This trade will only cost you net $1.25 or so per contract. I don't mind owning XTO stock at $32 in a worse case scenario.

I will enter this trade today towards the close. I will keep you updated.

When XTO stock price gets to $39.00, close both positions for a nice gain.

Earnings May 6th.