Wednesday, July 31, 2013

A few trades before earnings

With earnings coming up soon for my holdings, I made a few trades today to reposition.  I closed my existing long call position (September expiration) in Keryx Biopharmaceuticals, and opened a longer dated (January 2015) call position in Keryx.  The new calls provide plenty of time to capture multiple catalysts, including potentially the first few quarters of drug sales figures (from any/all of the three major regions: United States, Europe, and Japan).  I also added a bit to my existing long call position in Ariad Pharmaceuticals.  I offset the cost of this by reducing my position in the Financial Select Sector SPDR, which had a nice percentage gain.  Allocation to cash is relatively unchanged after all these moves, at less than 3% of the portfolio.