Dykstra's Deep-in-the-Money Call: Nokia

The takeaway here is simple: Because the margin between winning and losing is often very thin, you have to take advantage of opportunities when they come. It's a key part of my investing approach. Yesterday, Detroit did, Pittsburgh did not.

Today, I've got a pick we must pounce on. Cell phone-maker Nokia(NOK Quote) hit a new 52-week low of $27.01 Wednesday before closing at $27.11. The stock has gotten knocked around in the last few months and is well below its high-water mark in the last year of $42.22.

I like this company and think it's in a good position to add to the win total that includes Tesoro(TSO Quote), American Express(AXP Quote), Amgen(AMGN Quote) and Schering-Plough(SGP Quote). Getting back to Nokia, check out its balance sheet. It has $16.5 billion in the bank, $10.8 billion in operating cash flow and just $1.98 billion in debt.

This is a pick we can feel good about. Therefore, I am placing a limit order to buy 10 January $22.50 calls (NAYAX), paying $6.10 or better. Don't forget to place your GTC sell order $1 higher than the fill price so you can cash in on your $1,000 victory. So, if your order is filled at $6.10, you should immediately place a good-till-cancel (GTC) order to sell at $7.10.

Always remember: Life is a journey, enjoy the ride!

Know What You Own: NOK operates in the communications equipment industry, and some of the other stocks in its field include Qualcomm(QCOM Quote), LM Ericsson(ERIC Quote) and Motorola(MOT Quote). These stocks closed at $48.45, $26.15 and $9.18, respectively. For more on the value of knowing what you own, visit TheStreet.com's Investing A-to-Z section.