The last train has left the station.  How do you decide to hold on to that biotech stock that is dropping.  Aoooogah, too late.  If you are thinking about it now.  The market has dropped as I suggested in my last editorial on Wednesday, the 28th.  It took the route of rallying on the GDP and then the drop.

The SPY puts have worked very well, to the tune of 100% or more...

However I will not hold overnight any longer as to many possibilities for reversals.  So I will buy in and out each day.  Holding onto biotech stocks that are promissing in the near term, such as IMGG or long term like CVM is getting difficult.  CVM is holding here and IMGG is only a little creeping downl.  CEMI I am still long and waiting their 10Q and other things to play out.  This is a promissing company.  Read the article by Joseph.  Usually I run a 10% ratchet stop on any trade and try not to get emotionally attached to take a loss even, only to reenter later and make a profit.  That is more unlikely the better I know the stocks story.

All said I will continue to hold some biotech positions and play the SPY puts and keep cash handy.  When the market or individuals stocks find a bottom, I should be in a better position to buy back in then before.

Disclosure:  Long IMGG, CVM, CEMI

Here's what the SPY puts SWGWY I've been playing with did just today

2009 Nov 21 103.00 Put for Spdr S&P 500
Last Sale: 2.34 Net: 1.17 (+100.00%) Volume: 116.77 k

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