Chart courtesy of Stockcharts

Just a quick update on our options trade on Silver Wheaton Corporation (SLW) which trades on the Toronto and New York Stock Exchanges.

We purchased the August 2009 $10.00 PUT Contracts (SLWTB) on 5th August 2009 for an average price of $0.375 per contract and they closed today at $0.75 for a gain of 93% when the stock price dropped 2.29% to close at $9.40.

SLW has dropped 4 days in a row giving our PUTS a nice gain.

A quick look at the above chart and we can see what we hope is a good correction for SLW and also that the technical indicators have peaked for now which bodes well for further falls. However these contracts expire on the 22nd August 2009 so we are looking for one more price drop to get us close to our sell price of $1.00 then will exit this trade hopefully with a small profit.

Over on our gold site we have just opened an options trade on US Bancorp which has got off to good start.

Your thoughts are of course most welcome.

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