$FB: Time To Sell?


Early this morning, I witnessed a quick sell-off in $FB shares to under $53. Social media outlets were disgusted. I, on the other hand, thought it was a great move. Ladies and gents, we're in historic times for capital markets. For one, there are low interest rates and record price levels for stocks. Frankly, I'm surprised more companies aren't out trying to raise capital through offerings.

What has me more surprised, however, is that many companies aren't taking advantage of this "cheap money" environment.

Considering this environment and considering that a company such as Facebook just engaged in a stock offering, a question arises: Is it time to sell $FB?

Great question. I think raising funds here at all time highs is a GREAT move. However I think investors sell here and use this as an excuse. So yes, it's time to sell $FB. We'll revisit when the stock is back under $50.

By the way: I love the $FB Jan $50 puts for $.60

Known to most as Uranium Pinto Beans, Jason has more than 15 years under his belt of trading stocks, options and currencies. His expertise primarily lies in chart analysis, and he has a strong eye for undervalued stock. Because he’s got the ability to identify great risk/reward trades he usually enjoys taking the path less traveled and reaping the benefits from the adventure.

He is a co-founder of Option Millionaires, and he is best known for his weekly webinars with Scott, as well as his high level training webinars and charts found in the forums.

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