Rollercoaster ride today for SLB and RIG

Thank goodness I covered on RIG this morning... unfortunately they got me to uncover a little to early.

SLB on the other hand was a different story. The run up provided a great opportunity to cash out some Calls that I bought yesterday when SLB blew through 94 and damn near went to 93. That healthy double from then to this morning paid for part of the position I have for earnings. Nice volume pre-earnings... 19+ million.

My core position is Stock that is my LONG term hold.

My Hedge that I talked about is:

July 95 Puts (Avg. 1.95)
July 90 Puts (Avg. 0.60) Twice as many of these as the 95 strike.

My Long Option Position is:

August 105 Calls (Avg. 2.47)
July 100 Calls (Avg. 1.61)
July 105 Calls (Avg. 0.45) Speculative

If we get some good guidance upgrades are sure to follow... so I will sell some of the August tomorrow and the rest next week. I don't usually like to hold front month contracts outside of a day trade play, but the volatility draw down that is inevitable really effects these longer term options.

Hope for the best... plan for the worst.

Good luck,

RE