POTC predicts Morgan Stanley's (MS) gigantic REIT exposure will sink their shares back under $15 by March.
The commercial real estate fall-out will hit the wires like a tsunami wave on Monday Feb 23rd after market close.
GGP will report a likely bankruptcy filing for nearly $27B worth of debt.
Forward-thinkers must set up trades accordingly; consider buying $35 puts on VNO, $16 puts on MS, or $90 calls on SRS for March expiration.
The entire night crew of the Psychology of the Call team wishes all a profitable end of week.
SRS again?
ReplyDeleteWhy is POTC convinced Monday Feb 23rd GGP will file Ch. 11? I understand that date coincides with earnings release, but why wouldn't they at least wait until March 15?
ReplyDeleteDave,
ReplyDeleteWe believe GGP may not 'officially announce a reorg', on Feb 23rd, but they will leave little doubt as to the inevitability in near future. Sorry for the confusion and thank you for the attention; we're sorry for the misleading comment.
potc-
WOW, GGP just broke news on potential bankruptcy. Very incredible since I bought SRS calls on your rec. GO POTC! I am hoping the market doesn't notice and I will add Monday. GGP doesn't report until after close you stated?
ReplyDeleteJ.P.