Back on the Potash Bandwagon

I just added some Oct 180 Potash Calls (PYPJP).  Looks like the stock has been significantly beaten down.  While my earlier call on how far it would go down was off, I do feel comfortable building at this level.  MACD seems to indicate that we are in a bullish phase.  The stock is now moving back towards its 50day moving average.  The strike will end eventually.  The strikers demands are unrealistic and Potash is doing the right thing by standing their ground.  GM made the mistake of giving in when times were good and now they are suffering when times are bad.  Potash management is doing a good job looking out for the long-term financial stability of the company.

And of course a chart…

We are now trading above that dangerous 200 day moving average and MACD seems to indicate we are reversing an oversold condition.  The stock could make a dramatic move from this point.  Any progress in union talks will only accelerate the uptrend.