BOUGHT +1 FSLR 100 JAN 09 70 PUT @11.90

[caption id="attachment_833" align="aligncenter" width="500" caption="First Solar"][First Solar][][/caption]

I have covered my FSLR Jan09 70 put as planned. I shorted it for \$13.2 and covered it for \$11.90. An overnight profit of \$130 after commission. The share price was about \$92 at the time of this trade. It is now at \$88 as I type a few minutes later. I covered at a good time, right at the peak of this morning gap up rush. Frankly, I'm just glad I can cover it at a profit. I would have done the same even if it's a loss. Better be small than big.

I believe my original reasons for going long were sound for the long term, but I obtusely forget the fact that I can't stand a huge potential drawdown. I am clearly still suffering from this bottom-calling tendency. But at least I caught myself this time. I think this is a good start to correct this costly habit.

Looking at the trend in this week's down leg indicate we can have a downside to \$80 for ESLR. Entering long at yeseterday was a low probability trade. I should have waited til \$80 or better yet, wait for a confirmation for a rally.

[First Solar]: http://traderpau.files.wordpress.com/2008/11/2008-11-21-fslr.png