– On Short Screen, Hesperian mentions a potential long idea, and I mention a new pairs trade I opened Tuesday, long EGY, short TRGL. I note that this would have actually been a nice pairs trade a few months ago:

- Hesperian highlights a new blogger/analyst who scrutinizes U.S.-listed Chinese companies for fraud.
- Hesperian also shares a Seeking Alpha poster’s jaundiced look at Alcoa’s rosy earnings report.
- AvoidtheGarbage asks when PIPE shares start coming off restriction for JBI, Inc., a company whose shares have dropped 75% since Avoidthegarbage first mentioned it as a potential [...]

– I sold my FBP puts today for $2.10, for a gain of 23.5%, as the balance of risk versus reward started to look unfavorable.
– I picked up a few more puts on BHP as part of my hedge against a drop-off in Chinese iron ore demand. Now that I’m hedged out [...]

– Got stopped out of the short side of my short MMR / long XEC pairs trade today, for a loss of 4.9%. My trailing stop here was 18% on both sides. Maybe I’ll tighten the stop on the long side a little going forward.
– Bought a few puts on ESC, piggybacking [...]

Earlier today, I bought few ITM puts on HOV, in lieu of shorting it.
I also took advantage of BHP’s small bounce today to buy a few puts on it, the $62.50 strike Jan 11s @$7.40 each, extending my hedge against a drop-off in Chinese iron ore demand (which would adversely impact AYSI). Because I [...]

From Short Screen earlier today:
I offered this note to the still bullish longs on FBP’s Yahoo! Finance message board today:
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Of Human Bondage
Long before Somerset Maugham borrowed that phrase, it was the title of the fourth book in the philosopher Baruch Spinoza’s Ethics. That book was about how people are often bound and imprisoned by their [...]

– I bought ITM puts on USG in lieu of shorting it.
– Same with JOE.
– Trying to buy some on STXS.