First Major Loss

Made my first major loss.

Stock Option: MRK APR 47.5 Call
Date Bought: 2/14/2008
Date Sold: 2/21/2008
Units: 100
Buy Price: 2.8
Commission: 26
Total Investment: 306
Final Price: 1.65
Final Value: 165
Return: -141
Total Return (%): -46.07843137

Lesson to be learn - stick to technical analysis and do not rely solely on candlestick patterns. Candlestick patterns only work at the very end, when making the final decision to buy the stock.

This really hurt me but I had no choice. I could have waited for the option price to go up again but it would be foolish to do so. Hence, I am sticking to my discipline to sell an option when it has gone down about 50 % in price.

Good lesson for you Adrian.