Shenzhou RTO Investment

I bought into a very good pre-IPO offering sometimes last month... Widely known as the next Alibaba.com on the Hong Kong Stock Exchange, China Shenzhou Union Telecommunication Technology Co Ltd is going to be listed via RTO (Reverse takeover) within the next 3 to 4 months.

Generally, you want your pre-IPO share to gap up in great value when it officially listed on the stock market. This is one type of instrument that you earn 'fast money' in a short period of time, typically within 100 days!


Recently, I got this newspaper article (above) from my China correspondent, good news!

What Happened?

What exactly happened?

I just happened to be away from the market and the whole market crashed like there's no tomorrow. I bought into 2 companies....

When there was a discount of 90%, I bought into Countrywide (CFC) last Friday at $4.55.

When JP Morgan announced that they would bail Bear Sterns (BSC) at $2 a share, I bought into BSC at $3.65 after the price falls $26 today!

THE SKY IS FALLING and here's the time to go in for the killing!

14.3% MER options profit within 45 minutes & 5 pips from EUR/USD

Merrill Lynch & Co. (MER) recorded its biggest quarterly loss since being founded 94 years ago after the world's largest brokerage took almost $15 billion worth of write-downs from bad subprime mortgage bets.

That caused Merrill Lynch to post a net loss after preferred dividends of $9.91 billion, or $12.01 per share, compared to a profit of $2.3 billion, or $2.41 per share, a year earlier. Analysts—who have had a hard time ascertaining just how steep losses would be for Wall Street banks—had been forecasting a $4.93 per share loss, according to Thomson Financial.

Imagine -$12.01 vs. -$4.93. It's a big earning disappointment! I went into MER put options when the stock price was 51.25 and got out at 50.85 within 45 minutes.

MER Jan'08 50 Put (MERMJ) - Enter @ 0.70, Exit @ 0.80 (14.3% profit)

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Within the next minute, I also closed another forex trade on EUR/USD.


EUR/USD - Short @ 1.4683, Close @ 1.4678 (5 pips)