GS

Discussion in 'Options' started by oldnemesis, Apr 27, 2016.

  1. http://finance.yahoo.com/news/bear-day-goldman-sachs-gs-144302105.html

    http://finance.yahoo.com/q/ks?s=gs&ql=1

    http://www.msn.com/en-us/money/stockdetails/financials/fi-126.1.GS.NYS

    http://stockcharts.com/h-sc/ui?s=gs

    Trade:
    With GS at 167.97
    Oct 200/205 bear call spread for a net credit of $40
    Yield = 40/460 = 8.7% in 177 days or 17.9% annualized
    Prob = 88.4%
    Expectation = .884(40) - .086(460) - .03(230) = 35.4 - 39.56 - 6.9 = -11

    Price.......... Profit / Loss.... ROM %
    125.00.............. 40.00......... 8.70%
    150.00.............. 40.00......... 8.70%
    175.00.............. 40.00......... 8.70%
    200.00.............. 40.00......... 8.70%
    200.40................ 0.00......... 0.00%
    203.61........... (321.50)..... -64.30%
    205.00........... (460.00)..... -91.30%
    225.00........... (460.00)..... -91.30%
    250.00........... (460.00)..... -91.30%