As some may know..I'm also  VERY Positive on MELI for both trading and Longe Term..Actually MELI is Really theonly other Long term idea I am puting $$ into at this time..All others are trading Ideas.

 

   a review of my thoughts as I posted on another Board to  (mostly to wiseOne and Greedy Scoot..A.K.A Grasshopper..LOL..).

.the View remains the Same.

   MELI..It is a Steal under $33. a buy at $33-35 ,

resistance is $40..It has hit $40 area several times.. and $35 seeems to be holding a sucessful Test this week.. The Low point Support is $31 (I 1st bought at $31.98)..

At $35... The Play I Use is Buy and Sell the OXAAH (2009Jan$40) at 9.80-$10+)..That gives you Downside Protection to $25 and Upside to $50 ($40+$10).. for longer Term..9 months on call..In this kind of market..it is prudent to use Downside protection..and gives $$$ to buy More from Premium should $30 area be tested

Moving foward..The $40 Resistance when taken out would move MELI to$50 resistance and Eventually MELI could move to a recovery of $60+ a decent recovery from it's 6 month High of $81..This Shouldn't happen Fast but should the recession End (I believe We are already into a recession)..an attack on the 6mo high of $81 isn't impossible

What I am doing is making $$ Trading from $35to $37,$40 area.. rebuying additional Shares on retracement and Adding the new shares to  Long term Holdings.

with these shares , there are Leaps Available for $55.$60,$70 strke prices to hege any big market meltdowns form a severve Recession.