Bought 4 MFC Jan 2010 Puts 14.00 @ 1.70, Mark $13.25

I am shorting again. This time on Manulife Financial (MFC.TO) with a January 2011 put at 14 strike price. MFC is trading at \$13.25 at time of entry. Recent series of prop desk closings isn't going to bode well for the market, particularly for the banks as they need to recuperate those easy income. On top of it, the lack of push from the bulls this week as S&P test 1110 resistance doesn't look promising either. Yet, this could very well be a bear trap. In any case, I am taking a bearish bet via shorting MFC. Figure 1 shows a chart of MFC. It is depressed and it is struggling. Moreover, MFC keeps announcing billions of dollars worth of share offerings lately. I like it. There is a distinct possibility of a bear raid if MFC can break this \$13.50 resistance level. The gap above \$15 is just staring at me. Hard stop is at \$1.00 premium. Worst case risk for this trade is thus (\$1.70 - \$1.00) * 4 * 100 = 280 + \$27.90 commission = \$307.90 = 3.2%. However, I'd be very cautious if MFC closes above \$13.50. [caption id="" align="aligncenter" width="570" caption="Manulife Financial (MFC.TO)"][][][/caption]