Hologic Inc
Option Trade Blog

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Title: Hologic Inc Option Trade Blog

Date: 23 Mar 06

Business Description: Business Nature - Hologic, Inc. engages in the development, manufacture, and supply of diagnostic and medical imaging systems. Primary market segment: Women. The company also sells, distributes, and services complementary products that are developed and manufactured by other original equipment manufacturers.

Notable Fundamentals:  Consistently growing revenue and EPS.

Symbol:   HOLX

Option Symbol:   QHXPJ

Option Description:   Type: Put ,   Expiration: Apr,   Strike Price: 50    

Reason for Initiation:   Up trending, up by about 230% in 1 year. Bought at gap-up (albeit small).

Action:   Short Put (equivalent to long stock)

Details:  Sold to open position on 16th Mar 06, bought to close on 22 Mar 06.

Result:   Slight +ve

Reason for Closing:   No strong immediate follow-through of price movement after the gap up.

Comments:
* Low risk trade, strong support at 50 level.
* Made small gain due to contaction of volatility.
* Very strong uptrending stock, probably rank 90 and above for relative strength index.
* Conclusion: Good trade. Every step as planned.
* Action Plan: Keep in radar for next good entry point.

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