How are you trading Toyota?
February 19, 2010

Oh boy, every time I read all the responses some of you have tried to post here, I feel guilty that I haven’t had the time to get back here more often, especially for those who missed getting into my Let’s Talk Money forum on EnterActive Media before we capped membership there in 2009.

But, I’m here now, so let’s get down to business.

How are you trading the news surrounding Toyota?

I know people on both sides of this trade — with some literally on both sides of this trade — with options puts and calls on it.

But for straight-traders, some are of the thinking that this is just a momentary bump in the road for Toyota, and they feel it’s an opportune time to snatch some up and sit on it for awhile.

While others have bells and whistles chiming in their heads, where as soon as they heard about a large recall, they immediately reached for research reports telling them what cars Toyota loyalists would likely be reaching for if the recalls soured them on their loyalty to T for the time-being.

I know some have been eyeing Honda and Hyundai with this idea in their mind.

As you know, my role is never to take you by the hand and tell you what you should, or shouldn’t, buy.

My goal it to simply inspire you to roll-up your sleeves, do some research of your own, and decide what play is best for you — even if it means you don’t want to play the Toyota news at all.

Same names as usual on my due diligence list.

Just remember the usual disclaimer: Don’t base any of your investment decisions on anything you read here. Do your own due diligence, or at least enough research to pick the right professional to do it for you.