Top Takes for RealMoney

Here's what some of our market pros are saying and playing.
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The

RealMoney

contributors are in the business of trading and investing all day on the basis of ongoing news flow. Below, we offer the top five ideas that

RealMoney

contributors posted today and how they played those ideas.

TheStreet.com

brings you the news all day, and with

RealMoney

's "Columnist Conversation," you can see how the pros are playing it on a real-time basis. Here are the top five ideas from today

:

1. Buffett Finally Makes His Elephant Deal

By Sham Gad

8:10 a.m. EST

After years of saying

Berkshire

(BRK.A) - Get Report

would love to make an elephant deal, Warren Buffett is paying $34 billion ($44 billion including debt) for

Burlington Northern

(BNI)

. Clearly, Buffett views this as an excellent long-term value-creating acquisition for Berkshire -- his willingness to split the shares to make this happen is proof positive.

While I believe Mr. Buffett's comments that this is a bold bet on the long-term recovery of the U.S., I can't help but read between the lines: Does this mean that the long-term future for the trucking industry may be a lot tougher than we think? After all, rail transport of goods is the cheapest form of land transportation.

Overall, Buffett's bet should emphasize the favorable long-term outlook for the U.S. economy -- with emphasis on the phrase "long-term."

No positions

2. Portfolio Review

By Timothy Collins

9:16 a.m. EST

I am looking for some reader input here, as I'd like to do a bit of a longer article and take a few handfuls of long-term portfolios and put my spin on them. What I'm looking for are emails from a few readers outlining their portfolios (percentages, not dollars). I'd prefer portfolios mainly based on ETFs, but a mix of stocks and even some mutual funds can be included -- I'll see what I can come up with from the holdings. Obviously, my input should not be construed as a recommendation, simply another possible way at looking at any portfolio.

No positions

3. Yen and Portfolio Hedges

By Kristen Koh Goldstein

12:53 p.m. EST

I have initiated an intermediate-term bearish position on the yen. I agree with Michael McDonough's

fundamental view

and see that we are putting in the head-and- shoulders bottom on the dollar/yen (and head-and-shoulders top on the FXY) that Helene Meisler

pointed out

two weeks ago. I own out-of-the-money March FXY puts, as well a long position in YCS (for a trade). I don't expect this position to work immediately. On a separate note, I removed half of my portfolio hedges (index/sector puts) this morning, but expect to put them back on within a week or so. I apologize that I haven't been able to respond to my emails (yes, I still own F, BAC, JNJ, and INTC). I had to attend to a personal matter yesterday and had the luxury of stepping away because my portfolio has been fully

beta-hedged

. To review, I consolidated and trimmed down my portfolios significantly on

Oct. 16

, and beta hedged the remaining long positions at that time. I believe that we could have an oversold bounce here (why I have removed half of my hedges for the very short term), but will be fully hedged again by mid-month at the latest into year end. This volatility has been breathtaking ... when I started writing this post, the Dow was down more than 80 points.

Long FXY puts, YCS

4. Exited GDX and Added to TBT

By Christopher Grey

1:54 p.m. EST

I exited my

Vector Gold Miners

(GDX) - Get Report

trade just below $46 and added to my position in

ProShares Ultrashort Treasuries

(TBT) - Get Report

around $46.60. I think GDX can go higher, but it moved nearly 7% in one day. That is a big move, so I decided to take a profit and see what happens. I may enter GDX again.

Long TBT.

5. Pizza Anyone?

By Timothy Collins

2:55 p.m. EST

Although we saw good earnings reports from

CEC Entertainment

(CEC)

aka Chuck E. Cheese, and a guide up from

California Pizza Kitchen

(CPKI)

,

Papa John's

(PZZA) should follow more in the footsteps of

Domino's Pizza

(DPZ) - Get Report

, which had disappointing results. Into earnings, I am taking a short position on PZZA. The options are too illiquid, and the spreads too wide. Shorting into earnings is aggressive, so this is not a big trade, and does come with bigger risk. The chart is ugly, and if this one falls below $22.50 per share, could be in real trouble.

Short PZZA

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This article was written by a staff member of RealMoney.com.